Product Life Cycle – Promotions Final Project Outline Questions: I. Page 99 question # 2 # 2. How would you advertise a toothpaste at the four different stages in its life cycle? 1. Introduction Stage Risk seems to go hand in hand with the introduction stage because the chance of product failure is quite high. Profits will be below zero due to low initial revenues while the toothpaste company covers large expenses for promotion and distribution. We will need to let potential buyers aware of the new toothpaste availability. These buyers must know the toothpaste’s features, uses, and advantages over other brands.I’ll assume this particular toothpaste company has the resources, technological knowledge, and marketing know-how to launch the toothpaste successfully.
Having these assets will be a great advantage for the success of the new toothpaste brand. 2. Growth Stage The growth stage will be critical to the toothpaste’s survival because the competitive reactions to the products success during this stage will affect the toothpaste’s life expectancy. I would expect the toothpaste’s sales to rise rapidly and profits to reach a peak and then start to slowly decline.
To counter act the sales decline we must try to strengthen its market share and create a competitive niche by emphasizing the toothpaste’s benefits. To accomplish these tasks we may need to cut prices to stay competitive and gain stronger market position. 3. Maturity Stage Our toothpaste’s sales curve will peak and begin to decline as will profits.
This is the result of intense competition, as similar brands are now in the market.As a result many weaker competitors will be squeezed out or lose consumer interest. We must now turn our attention to develop improvements in our product and find positive differences in our version of toothpaste. We will continue to make fresh new promotional and distribution efforts. We will concentrate on advertising and dealer based promotions. We must also look at another opportunity that exists. Marketers of mature products sometimes expand distribution into global markets.We will need to research and determine if our toothpaste will be accepted and fit the needs of global consumers.
4. Decline Stage The stage where our sales will fall rapidly. New technology or social trends are at times the culprits of this downward spiral. Due to low profits we may cut promotion efforts, eliminate marginal distributors, and eventually plan to phase out our toothpaste. I will assume our toothpaste company has more than one product, a company’s future is rarely tied to one product.
As one product is declining, our toothpaste, other products of ours are at different stages of the life cycle.Therefore we will need to deal with prolonging the life of existing products and introducing new ones. Our main objective as a company is to meet organizational sales goals.
As one product is declining, other products are in the introduction, growth, or maturity stages for our company. II. Page 140 question # 3 # 3.”How do we sell this thing?” Rank each of theses approaches, in descending order of expected effectiveness. 10. Buy a Cheap Labor-saving Device. 9.
Buy a Goat Instead of a Sheep.8. Buy a Goat. 7. Goat. Guaranteed.6.
Don’t Let Someone Else Get Your Goat. 5. Give a Goat a Home. 4.Goat for Sale. 3. Save on a Goat.
2. Buy a Great Goat. 1.Buy an Affectionate Labor-Saving Device. III. Page 238 Question # 1 #1. What do advertisers mean by strategy? What are the key considerations in an advertising strategy? Averting messages aren’t created on a whim or by a quick flash of inspiration.
Advertising is a disciplined art and involves a lot of strategic thinking. Advertisers create messages to accomplish specific objectives, a process called strategic planning.Advertisers determine what you want accomplished, decide on strategies to go about accomplishing, and implementing tactics which make the plan come to life.
Advertising involves many different strategies. First there must be a strategic business plan that deals with the broadest decisions made by the organization. Next advertisers have marketing strategies that will identify key advantages for the product or firm in the marketplace. Lastly there are advertising strategy decisions that are made which are crucial to all advertising situations.Advertisers must set objectives and identify the target audience.
The advertising product must be compared to competing products features. The product must be position so it is welcomed in the marketplace by consumers. Finally the advertisers must create a brand image and personality for the product. These are all key considerations for the advertising strategy.
Targeting an audience for the product I feel is the most important.These audiences are equivalent to a target market, but often includes people other than prospects, such as those who influence the purchase. Once the target audience is defined this lets the advertising planner zero in on the most responsive audience.
IV. Page 265 Question #5 # 5. Identify how the creative use of emotion can enhance each operation.Perception: In the text there is a great example of how the L.
A. City Fire Department got their message across that fireworks are dangerous. Their billboard shows the image of a child’s hand missing one finger due to a fireworks related injury. The message here is personal and conveyed by the consumers that this could happen to someone in their family or to them personally.
Awareness: Most people want to read information or news that is relevant to themselves and things they care about. Advertisers create ads to bring out this emotion in consumers.I remember the billboard ad a few years back concerning N.A.F.
T.A. These billboards didn’t concern every person or every worker. The NAFTA situation only involved a percentage of workers. But these ads brought the attention to everyone who wanted to know more or thought they could help. The NAFTA ads brought awareness to the subject and educated people on how they can take action.Understanding: Being aware of a ad message sometimes is not enough.
The message must also be understood as well. Understanding means the viewer or consumer gets an active response from what they have seen or heard. New car commercials are sometime ones that contain a lot of information. Information on the brand, price, size, how it works, when and where to use it and so on.With this information we sometimes create an emotion inside about the particular car. We may want to go right out and buy it or take a test drive. Or we may simply consider it for a future purchase. All in all the commercial had created an feeling of want for their product and as we all know “wanting” is an emotion.
Persuasion: A persuasive message will shape attitudes and touch emotions.How someone feels about your product or company may be just as important as what that person knows about it. One example come to mind is last years Budwesier commercial. The one where the current owner or CEO talks about the company’s family tradition and that the way they make their beer hasn’t changed ever.
This is deffentily a persuasive commercial. They trying to convey that they are number one in the industry, were there when we needed them and are a American family business. V.Page 409 Question # 2 # 2. Hard-sell approach and soft-sell approach. . Hard-sell approach Soft-sell approach: I felt the original ad was bland and crowded. I really think they needed a real picture of a Updike tub and if I were to do another ad I would put one in.
VI. Page 440 Question # 6 # 6. Compare the differences in design, art, type and other elements in newspaper ads of expensive stores and lower-priced stores. Comparing Lazuras to K-Mart is really night and day. Lazuras has models wearing their clothes and real pictures and settings.
K-Mart has still pictures of products and uses only a few colors. Lazuras’ ads comes stapled together like a small magazine while K-Marts is full sheets folded to make a large paper insert. I think these differences are seen only to people who feel that one store is superior to the other. Sure Lazuras obviously spends more money on print ads then does K-Mart but it really doesn’t mean anything unless your ad draws customers in to shop. I personally think both companies to a good job with their advertising I’d just rather shop at Lazuras, at least for clothes.
Lazuras always is having some kind of sale.When I receive a Lazuras ad I know they must be having another 36 hour last chance sale of some sort. A lot of times I don’t even look through the ad because I figure its the same stuff as last weeks 36 hour blowout sale. K-Mart usually put their ads in the Sunday paper and advertises item that are commonly purchased by customers and seasonal products. Their ads are two and three pages and always has on the front cover toys for kids. I remember these ads from way back when I was a kid. Both of these two company’s ad campaigns work and must be working well, because I continue to see them every weekend.
VII. Page 469 Question # 5 One jingle that I dislike is the Sharpe Ford song. Its a great piece of work, “were sharp and were the reason Sharpe is Ford, Sharpe is Ford”, located at 3 o’clock sharp on the 465 dial. That is perfect. Every time I hear it I get a visual of the 465 dial and where Sharpe Ford is located.
One drawback though is that I can’t get the song out of my head the entire day.Another is a fairly new commercial for Giftpoint.com. They do a little rif from a Christmas song and only say Giftpoint.com. This is absolutely nerve racking and impossible to not sing the entire day I hope they take it off the air soon. I did however look at their web page.
I believe these ads do reflect on the advertiser, sometimes good and sometimes bad. I simply get annoyed but I tend to remember them and I think for the advertiser that is good.In some cases I think the advertiser uses our memory as their tool. Create a annoying jingle and play it on the radio over and over. We’ve all heard jingles and said to our selves after the fact that it was the stupidest jingle we’ve ever heard. Two weeks later were singing it in the shower or as we walk through the Ivy Tech parking lot. The dumb little jingles stick in our head and most of the times won’t go away.VIII.
Page 501 Question #5 # 5. What ideas do you have for setting up some type of direct-response system to decrease “traffic overload”. I think a good idea for Ivy Tech would be to have its own bookstore webpage. Student could access the page on campus or at home.They would be able to select and purchase books online for all their classes. The purchases could either be sent by mail or have a in house system for pick-up.
Many student purchase books with a credit card. If student had an option to not wait in the enormously large line chance are they wouldn’t. Also for the school they would be able to cut back on inventory and may open up some room in side the bookstore. Overall I believe a online system would only be the beginning.Ivy Tech could expand this page to handle many more tasks that would save time and eventually money.