Lists/Acronyms/stages
What are the 3 types of brand Architecture?
1. Masterbrand
2. Endorsed
3. Individual/ “House of Brands”
A new software company has developed an innovative productivity app designed to streamline workflows and improve efficiency for businesses of all sizes. The company wants to rapidly acquire a large user base and establish its software as the industry standard. They are willing to initially sacrifice profit margins to achieve widespread adoption and gain a competitive edge in the market. Which pricing approach should the company employ?
What is penetration pricing?
What is STP? Explain in detail.
Segmentation - Groups customers based on similar needs and profiles each segment
Targeting - Assess the attractiveness of each segment and selects segments to target
Positioning -Define value proposition for the target segment and develop an action pla
A milkshake company discovers customers often buy their milkshakes during morning commutes. Applying the "Jobs To Be Done" framework, identify the a potential competitor, and a product enhancement based on this observation.
Competitor: Coffee Shop; Enhancement: Offer a larger size milkshake. (multiple answers accepted)
Explanation:
Identifying the Job: Customers "hiring" a milkshake during their morning commute suggests the "Job To Be Done" is likely something related to making the commute more enjoyable or providing sustenance for the journey.
Recognizing Competition: A coffee shop directly competes for this "Job" as coffee is a common beverage choice for commuters. While other options might be tangentially related, coffee shops represent the most direct competition in this scenario.
Product Enhancement: The "Job To Be Done" might involve needing a drink that lasts throughout a longer commute. Offering a larger size milkshake directly addresses this potential need. Other enhancements might be beneficial, but a larger size aligns most closely with the observed customer behavior.
Geographic - Zip Code, country, address, population density, time zone
Demographic- age, gender, race, religion, occupation, marital status
Psychographic- values, interest, beliefs,goals
Behavioral- purchasing habits, customer loyalty, brand interactions
What are the 4 I’s of service
1. Intangible
2. Inconsistent
3. Inseperable
4. Inventory
What are the 4 main factors that affect value and price customization?
1. Taste
2. Nature of use
3. Intensity of Use
4. Competition
What is the 80/20 Rule
About 80 percent of a firm's sales are obtained from about 20 percent of its customers?
This layer of a product encompasses the psychological and emotional meaning of a product for a customer.
What is the symbolic layer
What is ISASDA
Identifiable
Substantial
Accessible
Stable
Differential
What are the 7 P’s of marketing
1. Product
2. Price
3. place
4. Promotion
5. People
6. Physical Environment
7. Process
An airline is looking to maximize revenue on its flights. They know that different types of travelers, such as business travelers and leisure travelers, have different price sensitivities and booking patterns. Additionally, demand for flights fluctuates based on various factors like time of year, day of the week, and proximity to departure. What is this an example of?
What is Dynamic Pricing
It is the customers subjective and intagible assessment of the brand above and beyond its objectively perceived value
Name a brand Despite having a basic Core Layer, this brand's focus on Augmented features like exceptional customer service and a personalized shopping experience has elevated it to achieve a strong Symbolic connection with customers, representing quality and exclusivity.
What is (answers can vary)
Apple: Known for innovative products (Core), a seamless ecosystem of services and accessories (Augmented), and a perception of sleek design and premium status (Symbolic).
Nike: Delivers high-performance athletic wear (Core), offers personalized fitness apps and a strong community (Augmented), and symbolizes athletic achievement and motivation (Symbolic).
What are the 6 types of new products
1. New to the world
2. New category of product
3. Product Line extension
4. Product improvements
5. Product Repositioning
6. Cost Reduction
What are the 6 steps do setting Price?
1. Identify Pricing objects
2. Estimate Demand and Revenue
3. Determine Cost, Volume, and Profit
4. Select an appropriate price leve
5. Set the Price
6. Make Special Adjustments
According to the lecture, what does the cash discount "2/10 Net 30" mean?
What is the buyer gets a 2% discount if they pay in the first 10 days, otherwise they must pay the full price within 30 days of the sale?
Deliberately selling a product below its customary price, not to increase sales, but to attract customers' attention in hopes that they will buy other products as well, is referred to as
Loss-leader Pricing
What are the 6 stages of stage gate/ new product development process?
1. Develop and Scope
2. Business Case
3. Develop
4. Test and Validate
5. Launch
What are the 3 demand- oriented approaches?
1. Skimming
2. Penetration
3. Prestige
A large manufacturer of consumer packaged goods is launching a new line of laundry detergent with an innovative formula that promises superior cleaning power and stain removal. The company wants to incentivize retailers to stock the product and encourage consumers to try it. They are also considering offering promotional pricing to drive sales during the initial launch phase. Which pricing adjustments, in addition to selecting an approximate price level, should the manufacturer implement to achieve these objectives?
What is The manufacturer should implement Discounts and Allowances to incentivize both retailers and consumers?
Explanation:
For retailers: The manufacturer can offer quantity discounts, providing lower prices per unit for larger orders, which encourages retailers to stock more of the product. Additionally, promotional allowances can be offered to retailers who feature the new laundry detergent in their advertising or in-store displays.
For consumers: The manufacturer can offer coupons, rebates, or temporary price reductions to encourage consumers to try the new laundry detergent. These incentives lower the perceived risk for consumers, making them more likely to purchase the product.
What is Product line Pricing?
What is the setting of prices for all items in a product line to cover the total cost and produce a profit for the complete line, not necessarily for each item?
What are the 4 stages of the Product life cycle? (Can be 5 depends how you look at it)
1. Introduction
2. Growth
3. maturity
Product/Brand Extension
4. Decline