A market analysis, or market research, helps to understand the community an organization is working for, as well as come up with ideas for the future (Berkowitz, 2011). This is true for any organization, and even more important for smaller organizations, as that may not have a large amount of money to use for new ventures, services, and products. Not to mention the organization needs to determine the best plan of action for their consumers, as well as those that are not yet utilizing the services and products being offered.
Developing strategies in relation to any application of marketing suggest a marketer’s ability to comprehend and align business practices with the need of the consumer and business simultaneously. Strategies present challenges whether domestic or international markets are the emphasis. The ability to set customary prices, have market presence, encouraging advertisements and publicity, understand the competition, develop accurate communication, a complete SWOT analysis including domestic and international markets, and customizing the target market, present boundless opportunity that consumers appreciate and market recognition. At each stage of
An analysis is done on how the customer perceives the company’s products in comparison to the competitors’ products. Based on this understanding and the competitors’ prices the pricing is done.
How much a customer should pay for a product? Pricing strategy does not only relate to the profit margins but also helps in finding target customers. Pricing decision also helps in influencing the choice of marketing channels. Price decisions include: Pricing Strategy (Penetration pricing, Skimming pricing etc.) List Price payment period Discounts Financing Credit terms The soft drink industry today is confronted with a bewildering array of price increases. Expenditures for labour, ingredients, transportation and more are continuing to rise. The cost of aluminium alone has increased dramatically from few years.. Across our entire system however, we have been cutting overhead and re- engineering our manufacturing process in order to keep our prices competitive. It is our strategy to limit any price increases to the retail trade to the lowest possible extent providing Price of a Coca cola which is also affordable for a normal person. who can afforded. Coca cola is given to it lover at nominal rates Coca cola is available in various prices. Price of all soft drinks was probably same but Coca cola lovers wants coca cola instead of Mirinda , dew and other
Promotional strategy can be described as the function of notifying, persuading, and influencing the decisions of a customer regarding a particular product and/or service. Notably, certain promotional strategies are geared towards creating primary demand or desire for a general product category. The most common objectives of the use of promotional strategies across organizations include creating the primary demand for a product, expanding markets, maintaining the current market position, and presenting a corporate view on a public matter. The other important aspect in the marketing mix is developing an appropriate pricing strategy for the product and/or service. The main objective a suitable pricing strategy is to ensure that the product and/or service are provided at reasonable prices while the
Why these branding methods are appropriate for the target market and how this will help make the promotional plan successful
Market analyze is very important to get customers feedback. By gathering market data , market growth the organization will get to know about the competitors.
Neil Borden developed first Marketing Mix in late 1940s; the published article in 1964 was called “The Concept of the Marketing Mix”. The concept introduce several parts of marketing mix such as: product planning, pricing, branding, distribution channels, personal selling, advertising, promotions, packaging, display, servicing, physical handling, fact- finding and analysis. Current and well-known 4Ps Marketing Mix was developed by Jerome McCarthy in the 1960s. This simplified theory includes four parts: product, price, place and promotion. This marketing theory is introduced to most of marketing books. The title place is responsible for all acpects of the process from the manufacturer to the consumer. The process includes all institutes involved (Shaw 2012)to provide availability of goods, in other words so called “channel of distribution”. Although in the sientific literature the term “channel of distribution” has a curtain variety of synonyms, to avoid misunderstandings in this paper the author will use only a distribution channel, a market channel, and a trade
Firstly, some commonly used terms and their definitions will be introduced in this report in order to provide some basic knowledge and understandings of the principles and studies about marketing strategy planning.
Chapters two and three of this book reviews the concept of advertising to consumers and strategies of a marketing plan. In addition, the chapter reviews the steps necessary to a successful marketing planning and the
Understanding your consumer target markets will guide the development of your product, how you price your product in the marketplace,
Organizations today have to stay vigilant and scan all environmental aspects of the economy, their finances and the business to ensure sustainability in meeting its strategic goals. These goals cumulate from leadership abilities to develop and implement sound decisions that align with strategies that promote operational efficient and effectiveness of its product or services. Therefore, developing pricing strategies sensitive to market will further provide competitive advantages within the industry, while assisting in creating maximum profitability.
Market analysing will allow the organisation to have a better understanding of their industry current and future market which will allow the appropriate marketing strategies to be implemented.
Establishing the value of a product or service is not easy. A wide variety of relevant factors such as the cost of goods or services, the market factors, sales volume, competition, economic conditions, must be taken into consideration. Although, price desideratum is an ideal hard to reach, the price should be high enough to cover the costs and generate revenue.Pricing it may have different guidelines. The most relevant pricing strategies are cost-based pricing, value-based pricing, and competition-based pricing.
A company’s pricing strategy can offer a low price to stimulate demand and be able to gain market share as it focuses on specific economies in administration, production and marketing, striving to be as lean as it can without diminishing the overall level of quality it chooses to produce and be known for in the market (Heiman, 2010). One of the many difficult decisions a company has is to have a detail understanding of planning the costs that are involved in producing a product, delivery, service as well as factoring in the organization to set their pricing. Therefore, a critical component of the pricing is to understand the market demand, life cycle and the competitors actions would assist in deciding how to price your products and