How to Write a Summary of an Article?
Answer In terms of the marketing mix some would say that pricing is the least attractive element. Marketing companies should really focus on generating as high a margin as possible.
The argument is that the marketer should change productplace or promotion in some way before resorting to pricing reductions. However price is a versatile element of the mix as we will see. The price charged for products and services is set artificially low in order to gain market share.
Once Promotional strategies essay is achieved, the price is increased. These companies need to land grab large numbers of consumers to make it worth their while, so they offer free telephones or satellite dishes at discounted rates in order to get people to sign up for their services.
Once there is a large number of subscribers prices gradually creep up. This is a no frills low price. The costs of marketing and promoting a product are kept to a minimum. Supermarkets often have economy brands for soups, spaghetti, etc. Budget airlines are famous for keeping their overheads as low as possible and then giving the consumer a relatively lower price to fill an aircraft.
The first few seats are sold at a very cheap price almost a promotional price and the middle majority are economy seats, with the highest price being paid for the last few seats on a flight which would be a premium pricing strategy.
During times of recession economy pricing sees more sales. However it is not the same as a value pricing approach which we come to shortly.
Price skimming sees a company charge a higher price because it has a substantial competitive advantage. However, the advantage tends not to be sustainable. The high price attracts new competitors into the market, and the price inevitably falls due to increased supply. Manufacturers of digital watches used a skimming approach in the s.
Once other manufacturers were tempted into the market and the watches were produced at a lower unit cost, other marketing strategies and pricing approaches are implemented. New products were developed and the market for watches gained a reputation for innovation.
They form the bases for the exercise.
However there are other important approaches to pricing, and we cover them throughout the entirety of this lesson. This approach is used when the marketer wants the consumer to respond on an emotional, rather than rational basis. Consumers might practice a decision avoidance approach when buying products in an unfamiliar setting, an example being when buying ice cream.
The choice is yours. Would you automatically by the cheapest? Would you buy the most expensive? Or, would you go for a lawnmower somewhere in the middle? Price therefore may be an indication of quality or benefits in unfamiliar markets.
Where there is a range of products or services the pricing reflects the benefits of parts of the range. Product line pricing seldom reflects the cost of making the product since it delivers a range of prices that a consumer perceives as being fair incrementally — over the range."Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consume around the world through its innovative hardware, software and Internet offerings." Vision Statement “Apple as a whole, envisions itself as the top of the line when it.
Ikea Promotional Strategies words 18 pages. Show More IKEA Bulgaria IKEA assignment Prepared by: George Georgiev Evgeniya Mincheva Zornica Rasheva Executive Summary Furniture remains the largest home furnishings and housewares sector. Bulgaria’s furniture industry is a dynamically developing sector in the past few years.
Promotional messages that are devised by different organizations are initiated to cater the needs of the consumers.
Essay: Gathering and Analyzing Promotional Items for a Company The organization that is selected for evaluation is Coca-Cola and different promotional campaigns and strategies are discussed in this paper.
The important point to remember is that the marketing plan is a document designed to present concise, cohesive information about a company’s marketing objectives to managers, lending institutions, and others who are involved in creating and carrying out the firm’s overall business strategy.
Communication and Promotional Marketing Strategy of Nike marketing plans and carefully planned marketing strategies. The marketing strategy of Nike is one of the techniques that many business are followed to become successful in the world of business like Nike did.
Marketing mix is the balancing and managing of product, price, promotion and distribution or place decisions, tactics and strategies.
Planning your mix requires thorough research and development of an approach that will be strong enough to sustain competitive activity.