Managing New Products and Services Case Study: Children First Ltd

2216 Words9 Pages
Managing new Products and Services Case: Children First Ltd. Group 5 members: Table of Contents 1. Answer Question 1: Page 3 2. Answer Question 2: Page 4 3. Answer Question 3: Page 6 4. Appendix 1: Marketing model Page 10 5. Appendix 2: Positioning Page 10 6. Appendix 3: Examples of several themes Page 10 7. Appendix 4: Calculation total cost in lifetime Page 11 8. Appendix 5 Example of potential revenues with more decorations Page 11 Case answers Question 1. By using the marketing model (Appendix 1) we recognize the following differences in the original and second product line: | 1st product line | 2nd teen line | Customers | 0-6 years…show more content…
In our opinion CFL made a misjudgment in positioning its new line by not understanding the new target group; teenagers and their parents. The misunderstanding, we believe, is a result of CFL not having researched its new target group. Teenagers have different wants and needs than young children and parents with regard to product attributes. The survey states that teenagers have a great influence when it comes to buying new furniture. The opinion of this target group has to be taken into account. First of all we believe that introducing a “simple and cheap kit” to convert your kids furniture to teenager furniture can damage the existing high quality image of the already existing “high quality” line. Second of all we think that converting “old” and probably out of fashion furniture into furniture suitable for teenagers doesn’t enhance the association with fashionable furniture. We believe that the new positioning is perceived as functional and a cheap solution which saves money. This is not in line with the first positioning of high quality, premium price, modern and safe. Positioning of new line vs. the existing kids line (see Appendix) Alternative positioning 1 An alternative positioning for CFL could be to position the new line as a low priced high quality product. With the simple and cheap kit to convert existing children furniture into furniture for teenagers the
Open Document