Preview

Product Launch

Powerful Essays
Open Document
Open Document
1275 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Product Launch
Chapter Sixteen; Strategic Launch Planning
The firm should think of product commercialization in two sets of decisions: 1. Strategic Launch Decisions a. Strategic platform decisions (overall tones and directions) b. Strategic action decisions (define to whom we are going to sell and how) 2. Tactical Launch Decisions a. Marketing mix decisions such as communication, promotion, distribution, pricing, etc. b. Strategic givens (already established; difficult or costly to change at this point) For examples check page 374
Strategic Platform Decisions
Different levels of product newness require different kinds of impact the launch activities must have on demand: • New to the world: entry strategy with the emphasis on stimulating primary demand • Product improvement or upgrade to existing product: Entry strategy with the emphasis on customer migration (to newer product). Stimulating replacement demand • New entry or line addition in established market: Emphasis on stimulation on selective demand
Several other platform decisions:
Permanence: Three options: 1. In to stay 2. In to stay if we meet our goals 3. Temporary (think of things like a tamagochi, merchandise related to movies)
Aggressiveness: Refers to attitude as much as dollars, three options: 1. Aggressive entry 2. Cautious entry 3. Balanced
Competitive Advantage: Why should customer buy your products? 1. Price 2. Differentiation 3. Both

Product Line Replacement: Most new products relate to existing products in the company’s product line, how should we manage the replacement strategy? 1. Butt-on product replacement Existing product is dropped on launch of new product. (like a new version of car.) 2. Low season switch Like Butt-on, but the switch at a low point between seasons. (like tour operators) 3. High season switch Like butt-on, but the switch is at the top of the season (like camera’s)

You May Also Find These Documents Helpful

  • Powerful Essays

    Marketing Chapter 2

    • 1549 Words
    • 6 Pages

    When a product is introduced, it is usually a “question mark” because it is “new” and there is uncertainty about consumers’ acceptance of them. After a period of time, depending on the product category, the “not-so-new” product could be classified as a “star” if its growth rate is sizeable and had a significant share of the product category. If the growth rate in the product category falls substantially and there is great competition from competing brands, the product…

    • 1549 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Memo AquaLisa

    • 670 Words
    • 3 Pages

    launch through a new marketing strategy. The intended result is higher sales, wider brand recognition and a larger…

    • 670 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Marketing and Product

    • 361 Words
    • 2 Pages

    Good examples of this type of products are Wii U and Note II. Both products are the improvement and revision of existing product both of products enhancing the existing product by adding features to their models. By doing so, both companies gain more market shares and retain its position in the market.…

    • 361 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    The term ‘ new product ‘ is not as clear-cut as it may sound. There are differing degrees of newness. At one extreme there could be a new pack size or color of an existing product, while at the other extreme it could be a ground-breaking innovation that has never been seen before. Apple makes their own products, and order some materials like plastic , to crate their product, the 3D television. There is an eight-stage framework that can guide the new product development process.…

    • 3972 Words
    • 114 Pages
    Powerful Essays
  • Satisfactory Essays

    Think of the expanding power of the internet. Consider the unique behavior of B2B buyers. Put them together for……

    • 3922 Words
    • 16 Pages
    Satisfactory Essays
  • Good Essays

    The company will use a select group of customers that value certain pieces of the new product. The company could decide not to make the product as good in some areas that the target customers don’t really care about. The company could consider making the new product better in certain areas based on the characteristics that are valued high by the target customers and introduce new features.…

    • 630 Words
    • 3 Pages
    Good Essays
  • Better Essays

    A company will have an existing product and adapt problems of the previous version to meet customer need.…

    • 2828 Words
    • 12 Pages
    Better Essays
  • Better Essays

    New Product development is when you make new goods to add to the existing markets. Marketing expenditure will need to be high to establish the new product. However, it will benefit from the existing brand reputation. This…

    • 1338 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Back Bay Battery

    • 3900 Words
    • 16 Pages

    The objective of this course is to assist you in developing in-depth knowledge relating to the management of innovation and the formulation of a new product introduction strategy. The materials to be used in this course are designed to provide you with a comprehensive exposure to the making of product development decisions. The primary emphasis in the course will be on understanding theoretical concepts and being able to apply them to a variety of new product introduction scenarios.…

    • 3900 Words
    • 16 Pages
    Good Essays
  • Satisfactory Essays

    Launch new innovative products to keep the loyal customers intact, build new customer base and gain competitive advantage over the competitors.…

    • 428 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Capsim Case Study

    • 408 Words
    • 2 Pages

    According to the textbook, launching of new products is necessary for achieving long-term competitive advantage. There products may add value to existing products. In the real world, people’s demands are increasing with the developing of the high-end products. So, developing or launching the high-end products will be better meet the customer needs. In Capsim, launch a new product in High End segment that meet customer’s buying criteria will increase the market share of the company. This new product will increase customer awareness…

    • 408 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    Mayo, C. M. (2012). New Product Development. Reference for Business: Encyclopedia of Business (2nd ed.). Retrieved October 13, 2012 from http://www.referenceforbusiness.com/management/Mar-No/New-Product-Development.html…

    • 2005 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    New product developments are one of the main sources of competitive advantage for companies today. Companies need new product to keep up with its’ competitors. New product development can be considered as activities that aim to bring new products to market.…

    • 932 Words
    • 4 Pages
    Good Essays
  • Better Essays

    - A new entrant that is able to produce a well-differentiated and innovative product can steal market share from existing competitors. However, the high capital requirements…

    • 1041 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    Marketing

    • 2119 Words
    • 9 Pages

    If a company extends a line of products by introducing a new product to the market, and the firm does not distinctly position this product (i.e., separately from the other products in the line), the result could be…

    • 2119 Words
    • 9 Pages
    Satisfactory Essays