De-Marketing

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Table of Contents
Executive summary ....................................................................................................................................... 4 Introduction .............................................................................................................................................. 5 The concept............................................................................................................................................... 6 De-marketing strategy and needs for its practice .................................................................................... 7 Examples ....................................................................................................................................................... 9 Summary ..................................................................................................................................................... 10 Conclusion ................................................................................................................................................... 11

De-marketing ~ the benefits and needs to be used 4

Executive summary
De-marketing is an attempt to reduce or limit demand for consumption of a specific product or service on a permanent or temporary basis. This attempt can lead to an outcome of excessive demand which may have some effects on the objectives of an organization. Therefore, de-marketing is able to be applied on both private and public sector goals. Marketing is basically dealt with the problem of increasing or stimulating demand in terms of oversupply. The use of the 4P's of the marketing concept, however, becomes the focal point of this objective. Marketing focuses on the defining the firm's goals, recognized the important market, and understand the needs and desires of the customers. Firms, at the same time, might be hampered with the problem of customer mix and marketing mix decision. De-marketing can be used as a device to decrease or reduce total demand, or types of demand and uses in relation to a particular stage of supply. Once a firm acknowledges that demarketing is a must, then all the marketing approaches can be applied. Marketing has been suggested as importance to the dilemma of decreasing demand as well as to the dilemma of increasing demand. De-marketing should not be classified as mere marketing in the opposite side where the 4P's of the marketing are used to reduce demand. If de-marketing is implemented appropriately, then firm is able to enjoy a viable future and a more secure, predictable short run.

De-marketing ~ the benefits and needs to be used 5

Introduction
The process of reducing the demand for a product or decreasing consumption is known as De-marketing a product which: 1) a firm cannot supply in large-enough quantities, or 2) does not want to supply in a certain region where the high costs of distribution or promotion allow only a too little profit margin. Common de-marketing strategies include higher prices, scaled-down advertising and product redesign. De-marketing usually involves the alterations of marketing mix variable to affect lesser demand when it is bigger than an organization can or able to tackle the situation. Oftentimes, demarketing methods involve raising prices, reducing advertising and promotion expenditures, or deleting product benefits. Usually, de-marketing may be intended to decrease demand either for a shorter period or forever. In selective de-marketing, a company may try to decrease demand in a specific or particular market such as the one that is considered to have less profitable than others. This can be classified as an appropriate planning when a company is encountered with an overfull demand state. i.e. efforts aimed at discouraging (not destroying!) the demand for

De-marketing ~ the benefits and needs to be used 6

The concept
De-marketing is a concept that endorses the line of thought...
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