Product Strategy

Pricing is only aspect of market strategy. There are other aspects of market strategy as well. By introducing new products and services, by improving the form quality of existing products, by the use of various advertisement media and by employing a variety of sales promotion devices, a firm is constantly trying to enlarge the range of choices before a consumer, in the hope of building more and more stable markets for its product.

1. The policy Variables

One can view the marketability of a product by conceiving all possible products as being represented in a multi-dimensional product space. Each dimension represents varying degree of some product feature such as brand style, package, colour, efficient service, seller, location etc. any location in such a product properties. The products already designed and marketed, would account for only a scatted distribution of points in product space. Many would be clustered indicating concentration of demand for a particular combination of product qualities of simply other producers’ limitation of a successful product. Normally every business tries to make a product. Normally every business tries to make a product with a difference, but it must not be too different from the general run of the product in that category. This is known as the principle of minimum difference.

2. Product-line Review

In the preceding sections, we have discussed product-line pricing and product-line coverage, particularly latter’s impact on the former. Here we would like to elaborate on product-line coverage. The fundamental product policy revolves round periodic review of the product-line by management. Market success or market failure of a product is almost organically related to the product-line review.

Product differentiation should be distinguished from (a) product diversification and (b) innovation. Product-diversification means an increase in the range of products. Thos may imply extending the coverage of existing product line or introduction of a new product line. Firm attempt product diversification to minimise the risk of product line may be made up by profits from another product-line.

Consumer’ acceptance of the product is the product is the ultimate test of success of any product policy. The main factors determining this acceptability are: (1) the product must be discernible-sufficiently different from the old product  to make it worth the consumer’s will to buy and use; (2) the product must be identifiable and distinctive, in term of appearance and quality, from other products and  (3) product must be reproducible at a uniform standard of quality. Finally much of product’s penetration and survival in the market depends on various kinds of marketing services rendered by the manufacturing and selling unit.

Services: - Product Strategy Homework | Product Strategy Homework Help | Product Strategy Homework Help Services | Live Product Strategy Homework Help | Product Strategy Homework Tutors | Online Product Strategy Homework Help | Product Strategy Tutors | Online Product Strategy Tutors | Product Strategy Homework Services | Product Strategy