The consumer product proposal presented by the marketing director lists all the relevant information necessary to create a marketing plan. It first introduces the target segment which the product will be designed and marketed to. Skipping this step can result in the product’s failure and millions of dollars wasted in ineffective advertising. Secondly, it lists all of Graves Enterprises’ main competitors and briefly cites their distribution channels.
One of the proposals is to increase the company’s market shares by designing a new product line advocated as “safe, effective and eco-friendly”. In addition, the product’s packaging would also be derived from recycled material which will help the company save money and re-enforce its green initiatives. In turn, the company will be able to price the product at a higher rate to match the competitors’ market price for green products. These strategies will enable the company to double its net profit as it reduces cost and increases profit margin.
In my opinion, this proposal will be effective due to the rise of a new social trend of sustainability. As consumers become more aware of the impact of global warming, recycling and other green initiatives, a great part of consumers will choose to buy environmentally safe products even if it costs them a little more. This sustainability trend is fairly new which may be the reason as to why the marketing researches conducted suggested that price and quality are still the first and second major impacts on the consumer’s buying decisions.
Another proposal by the consumer product manager is to create a new product line to be offered in retail stores. This multi-brand strategy will increase the company’s market share in the industry by attaining a new target segment for the line. Moreover, the creation of a website for online sales will give consumers a more convenient and modern way to purchase products. It will also provide Grave