Tonight was our final and I got a . . .
96%
Whooo Hooo!!!!!
Thursday, May 5, 2011
Wednesday, May 4, 2011
Class 14 - April 28, 2011
This week we discussed Chapter 18 - Setting the Right Price.
Setting the right price on a product is a four-step process:
I will be able to use this information in coming up with the right prices for my services for my clientele.
Setting the right price on a product is a four-step process:
Another thing I thought was especially interesting was the odd-even pricing (or psychological pricing). This pricing strategy means that odd numbered prices are used to connote a bargain and even numbered prices are used to imply quality For example, buying something for $99.95 makes you feel as if it's a good deal, whereas buying something, such as a bottle of perfume, for $100 implies prestige rather than bargain.
I will be able to use this information in coming up with the right prices for my services for my clientele.
Sunday, May 1, 2011
Class 13 - April 21, 2011
This week we discussed Chapter 16 - Sales Promotion and Personal Selling. The parts I took the most from were the parts about personal and relationship selling.
Personal selling is direct communication between a sales representative and one or more prospective buyers in an attempt to influence each other in a purchase situation. Personal selling becomes more important as the number of potential customers decreases, and as the complexity of the product increases, and as the value of the product grows. Highly complex items need a sales person to determine the prospective customer's needs.
Relationship selling, or consultative selling is a multi-stage process that emphasises personalization and empathy as key ingredients in identifying prospects and developing them as long-term, satisfied customers. The objective is to build long-term branded relationships with consumers/buyers, so the focus is on building mutual trust between the buyer and seller. Relationship or consultant salespeople become consultants, partners, and problem solvers for their customers. They try to build long-term relationships rather than focusing on the one-time sale.
It costs businesses SIX times more to gain a new customer than to retain a current one.
Using this information, I will be able to gain long-term clients for my business.
Personal selling is direct communication between a sales representative and one or more prospective buyers in an attempt to influence each other in a purchase situation. Personal selling becomes more important as the number of potential customers decreases, and as the complexity of the product increases, and as the value of the product grows. Highly complex items need a sales person to determine the prospective customer's needs.
Relationship selling, or consultative selling is a multi-stage process that emphasises personalization and empathy as key ingredients in identifying prospects and developing them as long-term, satisfied customers. The objective is to build long-term branded relationships with consumers/buyers, so the focus is on building mutual trust between the buyer and seller. Relationship or consultant salespeople become consultants, partners, and problem solvers for their customers. They try to build long-term relationships rather than focusing on the one-time sale.
It costs businesses SIX times more to gain a new customer than to retain a current one.
Using this information, I will be able to gain long-term clients for my business.
Sunday, April 17, 2011
Class 12 - April 14, 2011
This week we learned about Chapter 15, Advertising and Public Relations. The part of this chapter that interested me the most was learning about the 3 types of product advertising:
- Pioneering: Stimulates primary demand for new product or category & is used in the PLC introductory stage.
- Competitive: Influences demand for brand in the growth phase of the PLC & often uses emotional appeal.
- Comparative: Compares two or more competing brands' product attributes & used if growth is sluggish, or if competition is strong.
I thought it was interesting to see the correlation between the type of advertising and the stage of the product life cycle.
Monday, April 4, 2011
Class 11 - March 31, 2011
This week we discussed Chapter 14, Integrated Marketing Communications. The part of this chapter that interested me the most was the very beginning, where we talked about the role of promotion in the marketing mix. Promotion is the communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence their opinion or elicit a response. The promotional strategy is a plan for the optimal use of the elements of promotion: advertising, public relations, personal selling, and sales promotion. The main function of a marketer's promotional strategy is to convince target customers that the goods and services offered provide a competitive advantage over the competition. A competitive advantage is the set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition.
Combining the elements of the promotional mix - advertising, public relations, sales promotion, and personal selling - will help achieve the organization's overall goals and reach the target market.
For my business, I will need to combine advertising, especially word-of-mouth, and personal selling to create my clientele and build up my business.
Combining the elements of the promotional mix - advertising, public relations, sales promotion, and personal selling - will help achieve the organization's overall goals and reach the target market.
For my business, I will need to combine advertising, especially word-of-mouth, and personal selling to create my clientele and build up my business.
Class 10 - March 24, 2011
Today's class was cancelled so that we, students at USU, could support our basketball team in a big game. Instead of having class, we still read Chapter 12 - Marketing Channels and Supply Chain Management and took the quiz, but then we also had a group discussion about Kandy Kastle online.
The case study was a lot of fun to do this way, rather than discuss it in class. It forced everyone to get involved and contribute to the discussion. I chose the question about the Spin Pop - a spinning sucker -"To what category of new products does the Spin Pop belong?" At first I wasn't sure if it would belong to improvements and revisions because it was really just a new "spin" on the ring pop, or if it was a new product because it was the only spinning sucker. After lots of discussions and thought of other students in the class, I think it could kind of be both, but mainly an improvement and revision product.
It was a fun way to have class.
The case study was a lot of fun to do this way, rather than discuss it in class. It forced everyone to get involved and contribute to the discussion. I chose the question about the Spin Pop - a spinning sucker -"To what category of new products does the Spin Pop belong?" At first I wasn't sure if it would belong to improvements and revisions because it was really just a new "spin" on the ring pop, or if it was a new product because it was the only spinning sucker. After lots of discussions and thought of other students in the class, I think it could kind of be both, but mainly an improvement and revision product.
It was a fun way to have class.
Tuesday, March 22, 2011
Class 9 - March 17, 2011
This week we discussed Chapter 10, Developing and Managing Products.
The thing I thought was most interesting in this chapter was learning the product life cycles. The product life cycle is a biological metaphor that traces the stages of a product's acceptance, from its introduction (birth) to its decline (death). The amount of time a product spend in each life cycle can vary dramatically.
First is the introductory stage. This stage represents the full-scale launch of a new product into the marketplace. A high failure rate, little competition, frequent product modification, and limited distribution typify the introductory stage of the product life cycle. During this stage, sales normally increase slowly, and profits are usually negative due to R & D costs, factory tooling, and high introduction costs. The promotional strategy focuses on developing product awareness and informing customers about the product's potential benefits.
The second stage is the growth stage. If a products survives the introductory stage, it advances into the growth stage. In this stage, sales typically grow at an increasing rate, many competitors enter the market, and large companies may start to acquire small pioneering firms. Profits rise rapidly, reach their peak, and begin declining as competition intensifies. The promotional strategy switches to aggressive brand advertising and communication of the differences between brands. Distribution becomes a major key to success during the growth stage.
The third stage is the maturity stage. This is the period which sales begin to increase at a decreasing rate. Normally, this is the longest stage of the product life cycle. It is during this stage that appliances begin to release a yearly model. Product lines are lengthened to appeal to additional market segments. Marginal competitors begin dropping out of the market. Promotion increases with dealers and consumers to maintain loyalty and market share.
The final stage is the decline stage. This stage is signified by a long-run drop in sales. During this stage, companies must learn to develop strategies specific for this stage; to eliminate all nonessential marketing expenses and let sales decline as more and more customers discontinue buying their products.
While my business is more of a service business rather than a products business, I still think it is important to understand how this works - just in case I am ever involved in a product based company.
The thing I thought was most interesting in this chapter was learning the product life cycles. The product life cycle is a biological metaphor that traces the stages of a product's acceptance, from its introduction (birth) to its decline (death). The amount of time a product spend in each life cycle can vary dramatically.
First is the introductory stage. This stage represents the full-scale launch of a new product into the marketplace. A high failure rate, little competition, frequent product modification, and limited distribution typify the introductory stage of the product life cycle. During this stage, sales normally increase slowly, and profits are usually negative due to R & D costs, factory tooling, and high introduction costs. The promotional strategy focuses on developing product awareness and informing customers about the product's potential benefits.
The second stage is the growth stage. If a products survives the introductory stage, it advances into the growth stage. In this stage, sales typically grow at an increasing rate, many competitors enter the market, and large companies may start to acquire small pioneering firms. Profits rise rapidly, reach their peak, and begin declining as competition intensifies. The promotional strategy switches to aggressive brand advertising and communication of the differences between brands. Distribution becomes a major key to success during the growth stage.
The third stage is the maturity stage. This is the period which sales begin to increase at a decreasing rate. Normally, this is the longest stage of the product life cycle. It is during this stage that appliances begin to release a yearly model. Product lines are lengthened to appeal to additional market segments. Marginal competitors begin dropping out of the market. Promotion increases with dealers and consumers to maintain loyalty and market share.
The final stage is the decline stage. This stage is signified by a long-run drop in sales. During this stage, companies must learn to develop strategies specific for this stage; to eliminate all nonessential marketing expenses and let sales decline as more and more customers discontinue buying their products.
While my business is more of a service business rather than a products business, I still think it is important to understand how this works - just in case I am ever involved in a product based company.
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