Product · 2019-12-01 · Fashion is a currently accepted or popular style in a given field....
Transcript of Product · 2019-12-01 · Fashion is a currently accepted or popular style in a given field....
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Marketing mix – Product
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Consider Apple’s balanced product portfolio
a) iPhone 3G
b) iPad 2
c) iMac
d) Mac Air
e) iPad Air
f) iPhone 5C&5S
Products that are in growth and maturity
stage support the growing products
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A style is a basic and distinctive mode of expression appearing in a field of human endeavor.
•Styles appear in homes (colonial, ranch, Cape Cod),
•clothing (formal, business casual, sporty), and
• art (realistic, surrealistic, abstract).
A style can last for generations and go in and out of vogue
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Fashion is a currently accepted or popular style in a given field.
Fashions pass through four stages:
1. distinctiveness,
2. emulation,
3. mass fashion, and
4. decline
One explanation is that too many consumers adopt the fashion, thus turning others away
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Fads are fashions that come quickly into public view, are adopted with great zeal, peak
early, and decline very fast.
Their acceptance cycle is short, and they tend to attract only a limited following who
are searching for excitement or want to distinguish themselves from others.
Fads fail to survive because they don’t normally satisfy a strong need.
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Pokemon cards…what a fad!
The PLC – fast rise, fast fall
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Do you notice any trend?
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Long life cycle…how to extend?
..instead on eating at breakfast, why not a late night snack?
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As we can see, the first few
years are spent in R&D as
well as publishing in medical
journals to gain acceptance
and awareness
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Has the product changed?
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What is the life cycle time of a football shirt?
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Good example of product lines
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Mark
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Low Relative market share
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Mark
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gro
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rate
Hig
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Low
Low Relative market share
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A company would calculate the ‘floor’ and ‘ceiling price’
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Consider ‘how’ a consumer can buy an iPhone 5C or iPhone 5S
•
•
•
•
•
•
For higher price purchases, a company needs to understand how people will pay as well
as their ability to pay.
Most people cannot afford to pay cash (savings) for a car, house, or perhaps honeymoon.
Therefore, a company needs to remove this barrier.
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Apple pricing strategy:
What have Apple had to consider about their iPhone pricing strategies?
What do pricing strategies and tactics may Apple have used?
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Low-interest financing
Longer payment terms
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Product form –
Consider Nonfu Spring Water
The price for:
•550ml
•1.5litres
•4 litres
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APPS
Social media:
Shift from SMS on phones to WeChat, WhatsApp, KaoKao, LINE
Younger Facebook users don’t like the fact that parents now use it. They also see it as less
personal
How do they make a revenues and profits?
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