Marketing management Essay Example for Free

Marketing management Essay sea-coast 9.1its dependable andgood for youChapter 9aDeveloping sassy merchandises andmanaging the harvesting life cycleKotler et al., Principles of Marketing, 6th mutant Pearson learning Limited 2013 splay 9.2 immature fruition increment and return life-cycle strategiesTopic outline raw(a) proceeds ontogenesis strategyNew carrefour development surgical processManaging new product development crossroad life-cycle strategiesAdditional product and serviceconsiderationsKotler et al., Principles of Marketing, 6th discrepancy Pearson Education Limited 2013 trend 9.3New product development strategyTwo ways to obtain new productsAcquisition refers to the buying of a hearty company, a patent or a license to producesomeone elses product. New product development refers to thedevelopment of original products, productimprovements, product modifications andnew brands through the firms own productdevelopment efforts.Kotler et al., Principles of Market ing, 6th fluctuation Pearson Education Limited 2013Slide 9.4New product developmentprocessMajor orders in new product developmentFigure 9.1Major stages in new-product developmentKotler et al., Principles of Marketing, 6th random variable Pearson Education Limited 2013Slide 9.5New product developmentprocess (Continued)Idea generationIdea generation is the systematic search fornew product ideas.Sources of new product ideas internecine ExternalKotler et al., Principles of Marketing, 6th interpretation Pearson Education Limited 2013Slide 9.6New product developmentprocess (Continued)Idea generationInternal sources refer to the companysown formal research anddevelopment, management and staff,and intrapreneurial programs.External sources refer to sources outsidethe company such as customers,competitors, distributors, suppliersand outside design firms.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.7New product development process(Continued )CrowdsourcingInviting broad communities of peoplecustomers, employees, independentscientists and researchers and even thepublic at largeinto the new productinnovation process.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.8New product development process(Continued)Idea screening Identify good ideas and drop poor ideas. R-W-W screening framework Is it real? Can we win? Is it worth doing?Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.9New product development process(Continued)Concept development and interrogatory yield idea is an idea for a possible productthat the company can see itself fling tothe market.Product concept is a detailed version of theidea stated in meaningful consumer terms.Product image is the way consumersperceive an actual or potential product.Kotler et al., Principles of Marketing, 6th edition Pearson EducationLimited 2013Slide 9.10New product development process(Continued)Co ncept development and testingConcept testing refers to testing new productconcepts with a group of target consumersto find out if the concepts have strongconsumer appeal.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.11New product development process(Continued)Marketing strategy development Marketing strategy development involvesdesigning an initial marketing strategy for anew product based on the productconcept. Marketing strategy statement includes Description of the target market Value proposition Sales and kale goals.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.12New product development process(Continued)Marketing strategy developmentBusiness analysis involves a review of thesales, cost and profit projections to findout whether they satisfy the companysobjectives.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.13New product development process(Con tinued)Marketing strategy developmentProduct developmentInvolves the creation and testing of one ormore physical versions by the RD orengineering departments.Requires an increase in investment.Shows whether the product idea can beturned into a workable product.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.14New product development process(Continued)Marketing strategy developmentTest marketing is the stage at which theproduct and marketing program arintroduced into more realistic marketingsettings.Provides the marketer with experience intesting the product and entire marketingprogram before full introduction.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.15New product development process(Continued)Types of test marketsStandard test marketsControlled test marketsSimulated test marketsKotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.16New product developme nt process(Continued)Marketing strategy development Advantages of simulated test markets Less expensive than different test methods Faster Restricts access by competitors. Disadvantages Not considered as reliable and accurate dueto the controlled setting.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.17New product development process(Continued)Marketing strategy developmentWhen firms testmarket New productwith largeinvestment Uncertaintyabout productor marketingprogramWhen firms maynot test market Simple lineextension Copy ofcompetitorproduct Low costs ManagementconfidenceKotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.18New product development process(Continued)Marketing strategy developmentcommercialization is the introduction of thenew product When to launch Where to launch Planned market rolloutKotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.19Managi ng new productdevelopmentSuccessful new product development shouldbe customer-centred team-based systematic.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.20Managing new productdevelopment (Continued)New product development strategiesCustomer-centred new product developmentnew ways to solve customer problems andcreate more customer satisfying experiences.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.21Managing new productdevelopment (Continued)New product development strategiesSequential new product developmentcompany departments work virtuallytogether individually to complete eachstage of the process before passing italong to the next department or stage. Increased control in risky or complexprojects but may be slow.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.22Managing new productdevelopment (Continued)New product development strategiesTeam-based new product developmentVarious company departments workclosely together, overlapping the stepsin the product development process tosave time and increase effectiveness.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.23Managing new productdevelopment (Continued)New product development strategies arrogant new product developmentinnovative development approach that collects,reviews, evaluates and manages new productideas. Creates an innovation-oriented culture. Yields a large number of new product ideas.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.24Product life-cycle strategiesProduct life cycleFigure 9.2Sales and profits over the products life from initiation to decline Kotler etal., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.25Product life-cycle strategies(Continued) Product development Sales are zero and investment costs mount. creative activity Slow sales p roceeds and profits are nonexistent. Growth Rapid market acceptance and increasing profits. Maturity Slowdown in sales appendage and profits level off ordecline. Decline Sales fall off and profits drop.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.26Product life-cycle strategies(Continued)Figure 9.3Styles, fashions and fadsKotler et al., Principles of Marketing, 6th edition Pearson EducationLimited 2013Slide 9.27Product life-cycle strategies(Continued)Fads are temporary periods of unusuallyhigh sales driven by consumer fervor and immediate product orbrand popularity.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.28Product life-cycle strategies(Continued)Introduction stage Slow sales growth Little or no profit High distribution and promotion expense.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.29Product life-cycle strategies(Continued)Growth stageSa les increaseNew competitors enter the marketPrice stability or decline to increase volumeConsumer educationProfits increase promotion and manufacturing costs gaineconomies of scale.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.30Product life-cycle strategies(Continued)Maturity stageSlowdown in salesMany suppliersfill-in productsOvercapacity leads to competitionIncreased promotion and RD tosupport sales and profits.Kotler et al., Principles of Marketing, 6th edition Pearson EducationLimited 2013Slide 9.31Product life-cycle strategies(Continued)Maturity stage modifying strategies Market modifying Product modifying Marketing mix modifyingKotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.32Product life-cycle strategies(Continued)Decline stage Maintain the product Harvest the product place down the productKotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.33Addi tional product and serviceconsiderationsProduct decisions and socialresponsibilityPublic policy and regulations regarding growth and dropping products,patents, quality and safety.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013Slide 9.34Additional product and serviceconsiderations (Continued)International product andservice marketingchallenges find out what products and services tointroduce in which countries Standardisation versus customisation Packaging and labelling Customs, values and laws.Kotler et al., Principles of Marketing, 6th edition Pearson Education Limited 2013