...Products, Pricing, and Channels Introduction The all-new Mustang is the next chapter in the life of one of the world’s most iconic cars. The 2015 Ford Mustang is loaded with innovative technologies and delivers high levels of performance and style. “The Mustang is the first car to offer four, six, and eight-cylinder engines that each produces at least 300 horsepower. With more powertrain options to choose from, there is a Mustang to fit any lifestyle. The 3.7-liter V6 and upgraded 5.0-liter V8 are joined by an all-new 2.3-liter Eco Boost engine that brings state-of-the-art technology to Mustang.” (Ford, 2014) Description & Features The Mustang’s Eco Boost engine uses direct injection, variable cam timing and turbocharging to deliver plenty of usable performance across a broad RPM range. Mustang is equipped with over 300 horsepower and 270 lb.-ft. of torque on tap from the standard 3.7-liter V6, even the most accessible Mustang delivers the performance customers expect. Drivers will appreciate smoother shifts from the updated manual gearbox while a reworked automatic transmission features new steering wheel-mounted shift paddles for drivers who want the choice between convenience and control. (Ford, 2014) There are several key design features that define the all-new Mustang, including, a lower, wider stance with a reduction in roof height, and wider rear fenders and track. The return of Mustang fastback with a sleeker profile enabled by more steeply sloped windshield...
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...Channel and Pricing Strategies MKT/571 May 31, 2012 Understanding various markets and strategies when dealing with the launch of a new product can be challenging. Below is a breakdown of the channel strategies, pricing strategies, and environmental factors. In addition, the government and economic factors, innovation and technology, and the demographics of the new product are factored in the plan for the launch. Channel Strategies Most manufacturers do not sell their goods directly to the final consumer. Between the final consumer and the manufacturer stands a group of intermediaries who perform various functions. The intermediaries are referred to as marketing channels, groups of interdependent organizations involved in the process to help make a product or service available for consumption or use, marketing channels (Kotler, & Keller, 2007). Every manufacturer needs a marketing strategy in order to promote their product and make it readily available to the public. So choosing the correct strategy is a critical decision facing management. Apples launch of the new mini iPad will need two channel strategies, one for their domestic market (U.S.A), and one for their international market (Japan). Since the product is new choosing the correct market is crucial for the success of the mini iPad. Apples reputation in their domestic market is one of high brand loyalty. Apple has many brand loyal customers that demand Apple products and choose to...
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...Channel and Pricing Strategies Morilyn Cornett, Lori Winteresteen MKT / 571 April 28, 2010 Lauren Gerichs Channel and Pricing Strategies Introduction Our company, LMA, Inc., introduced earlier for our home country and product offering, South Africa and organic black hair care products; launched to improve the totality of hair care among the citizens of the South African country. The company’s advent of hair care products in this country was based on the needs and wants of a country deprived of fully understanding the influence special hair aids would have on their particular hair types. In this paper, LMA will launch a modified section of our product that will include a wider audience, (located in a different country) and additional hair aids. This paper will also discuss channel and pricing strategies for our international and domestic product launch; justify our chose domestic market, its sustainability and the factors involved that influenced our selection. Next, LMA will select an appropriate channel strategy and justify the selection and will include a pricing strategy for entering both the domestic and international markets. Following, will be an evaluation of the implications of changing environmental factors on organizational choices for our selected country and international market, addressing government, economic, innovation and technology, and social and demographic functionalities. Country Selection and Justification For LMA’s second product offering...
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...Frogs: Pricing Strategies for a Manufacturer Adding a Direct Channel that Competes with the Traditional Channel Kyle Cattani1 Wendell Gilland1 Hans Sebastian Heese2 Jayashankar Swaminathan1 1The Kenan-Flagler Business School, The University of North Carolina at Chapel Hill 2Kelley School of Business, Indiana University January, 2005 1 Boiling Frogs: Pricing Strategies for a Manufacturer Adding a Direct Channel that Competes with the Traditional Channel Abstract In this paper, we analyze a scenario where a manufacturer with a traditional channel partner (i.e., a retailer) opens up a direct Internet channel that is in competition with the traditional channel partner. We first consider that in order to mitigate channel conflict the manufacturer, who chooses wholesale prices as a Stackelberg leader, commits to setting a direct channel retail price that matches the retailer’s price in the traditional channel. Under this general equal-pricing strategy, we determine the effect of more specific pricing strategies on prices and profits of the manufacturer and the retailer. These specific strategies are: (1) keep wholesale prices as they were before, (2) keep retail prices as they were before, or (3) select wholesale and retail prices that optimize profits for the manufacturer. Within these strategies we identify and summarize cases when the resulting prices are lower than the pre-Internet prices, and when they are higher, relating them to the respective channel costs...
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...Product, Pricing, and Channels MKT/421 August 24, 2015 Product, Pricing, and Channels The target group for Apple Music (Beats 1 radio) is any consumer that uses iTunes and is willing to purchase legal music ("Appadvice.com",2015). There has been a decline in music downloads and sales through iTunes, so this is Apple’s way to revamp a product they already have. Apple Music could be appealing to college students, teenagers, businesspersons, and families. These customers are always on the go and if music is something that is essential to their lifestyle this new Apple music will be very beneficial for them. Apple Music allows users to mix and match their playlist with streaming music from the Internet ("Imore.com",2015). So this means that the user can have an endless music supply at their fingertips. The App can find music that matches what the customer may already have on their device and create a custom music playlist for them. This feature creates a wide variety of music that the member may not have heard yet and can introduce them to a new artist. With a paid Apple Music subscription, members will have access to a variety of interactive features such as: unlimited skips, utilization of the "like" function, commenting abilities, play and save function, connect content function, access to entire Apple Music catalog, add songs to personal library function, listen to music offline, and have all music on device uploaded to iCloud ("Imore.com", 2015). After the three-month...
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...Product, Pricing and Channels Esan Williams, Mark Jernigan, Ann Groose, Maria Fonseca, Brent Beley, Ariana Zamarripa, Bernita Miller and Tammy Housie MKT/421 June 9, 2014 Thomas O’Brien Product, Pricing and Channels In this paper, team C will discuss a gluten-free menu item at Subway and how it solves the current need in the target market. It will include strategies on how to attract the target market through correct appeal, quality, and pricing. Pricing is very important because it is something that determines how much your product is worth. There are two well-known pricing strategies, penetration and skimming. Also, important is the product lifecycle, how long will it stay on the current subway menu? In terms of packaging for the new item, will it be different? Or will it use the current packaging that is offered at the restaurant? Another topic discussed in the paper will be the channels of distribution for the new gluten-free product. Detailed Description of Subway Gluten-Free Menu Item Subway has opened more than 22,000 global locations, in the United States Subway is the largest fast-food chain and its franchises can be found worldwide in 77 countries. It became famous as the healthy choice in fast foods through the story of Jared Fogle, a Indiana University College student who claimed to have dropped 245 pounds from eating Subway sandwiches with six grams of fat or less, low-fat chips, and diet drinks. Subway continued to improve its healthy food choice...
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...Product, Pricing and Channels The Royal Caribbean Navigation app is only available for users of android and Apple devices. The app is free to download and is able to connect on all RCL guest using Royal Caribbean Wi-Fi networks. The Royal Caribbean navigation app connects to the ship networks in the port terminal as well. The Wi-Fi network is complimentary only if Royal Caribbean guest use it to access the app while the mobile device is on “airplane mode”. The Royal Caribbean navigation app complies with mobile device settings, so therefore within the app it allows the guest to change the settings to airplane mode. The Royal Caribbean app brings excitement to all guests with the wonderful countdown feature. The app allows the user to enter their plan vacation date, and the app will store the information to countdown to the scheduled vacation. The Royal Caribbean navigation app countdown minutes, hours, and days. With a simple tap of your smart device, Royal Caribbean navigator app permits guest to information regarding characters, deck parties, dining, entertainment, live shows, nightclubs and lounges, ports of call, spa services, shopping, youth clubs. The best part of the Royal Caribbean navigator app is the guest locator. Royal Caribbean guest are able to locate other guest in their group, which also have the app devices. Royal Caribbean guest is able to view what is happening every minute of every day. The Royal Caribbean navigator app syncs with the devices calendar to...
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...Product, Pricing, and Channels Paper Learning Team A - MKT/421 Professor Luis Product, Pricing, and Channels Paper The following paper discusses how the Grayl, a water filtration equipment manufacturer offers its personal water filtration device to a number of target markets such as those who are health conscientious, environmentally focused, outdoor enthusiast and travelers. The discussion covers a number of topics such as the product features and benefits, the phases of the product lifecycle, the packaging of the product, the pricing strategy, and the channels of distribution. Product Features and Benefits The Grayl is a water filtration cup that functions much like a French Press. Filtered, good tasting water is as convenient as ever with the Grayl. Simply fill the outer cup with water, press the inner cup in the outer cup, and in as little as 15 seconds the Grayl filters the water by isolating it in the inner cup. During the filtration, the Grayl removes, chemicals, metals, and most of the bacteria commonly found in unfiltered water. The Grayl thoroughly filters water using technology that features a triple-charged ion mesh that pulls germs and viruses out of the water with magnet-like force. It also features an anti-microbial agent that ensures freshness every time. Though convenient at home, school, or office, the Grayl will also eliminate worries about finding clean water when on-the-go for a number of reasons such as day-to-day mobility; outdoor and...
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...Channel and Pricing Strategies Majesty Anderson, Yvonne Davis, Benjamin Holbert & Shawn Hicks Marketing 571 Judy Allen December 17, 2011 Kathy Kudler recently had a business meeting with a top distribution company in Italy that is well known for leading grocery value in sales. Selex a well known grocery distribution company would like to get into the franchising business. Selex is impressed with Kudler’s dominant positioning in Brazil and would like to market and franchise a café known for gourmet cuisines. Selex believes that an upscale café would cater to the market looking for more than just great coffee. According to Country Report on Grocery Retailers in Italy, consumers are likely to remain value-focused and will look to channels and retailers which can provide them with high quality and low-cost products in grocery and household essentials that can be easily obtained. Consumers are faced with shopping in more than one store to provide all items and services needed. Selex feels that with the Café and all the accommodations that Kudler will provide for customers that the Italian market will embrace a one stop grocery store. Pricing Pricing is vital to a company’s growth because it is the only element in the marketing mix that produces revenue. Determining the correct price of a product or service is a complex and difficult task, especially when conducting business in foreign countries. Kudler Foods has decided to accept Selex...
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...Channel and Pricing Strategies MKT/571 November 22, 2011 Abstract In week two’s learning team assignment, Team A discussed that Kudler Fine Foods (KFF) planned to bring Swiss chocolates to the Atlanta, Georgia market similar to the one currently in three California markets. This week’s team paper will introduce the product to the international market in the United Kingdom (UK) that include channel and pricing strategies and justify the selection of the market selected. Why the United Kingdom? The entire worth of the chocolate marketplace in Great Britain and the United Kingdom (UK) is presumed to be more than five billion dollars in 2010, as stated by a 2011 article in Marketing Week magazine titled “Appetite for Indulgence Will Sweeten Bitter Pill” (www.marketing.co.uk). Following that, data on the UK chocolate marketplace gets complex, specifically with owners and manufacturers. For instance, the UK natural chocolate marketplace is believed to be the biggest in Europe. Green and Black’s organic chocolate company maintains that they are the Britain’s top organic maker of chocolate. It was created in 1991 and acquired by Cadbury in 2005. Cadbury has been making chocolate since 1824, and was acquired by Kraft foods in the early part of 2010. Nestle, based in Switzerland, and Mars, a private United States company, also lead Great Britain’s massive chocolate marketplace. Other chocolate manufacturers’ products are also accessible...
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...Assignment #3 Pricing Strategy and Channel Distribution Marketing Management – MKT 500 February 15, 2012 Pricing Strategy and Channel Distribution Determine and discuss a pricing strategy (Skimming and Penetration). One of the four major elements of the marketing mix is price. Pricing is very important strategic element. The pricing strategies impinge on featuring products, channel decisions, and promotions. This strategy helps marketers set prices. (Pride, Hughes, & Kapoor, 2011) There are many ways to price a product. Two commonly known pricing strategies are skimming and penetration. Lavishness Hair Studio is likely to use one or both of them over a calculated period of time. Price skimming involves charging the highest price possible for a short time where a new, innovative, or much-improved product is launched onto a market. The objective with skimming is to “skim the cream” off customers who are willing to pay more to have the product sooner. Prices are usually lowered once demand falls. Penetration pricing is the opposite; it involves the setting of lower, rather than higher price for a new product. The seller wants to discourage competitors from entering the market by building a large market share quickly. The plan is to raise prices as soon as the introductory offer is over (Pride, Hughes, & Kapoor, 2011). Lavishness Hair Studio will use price penetration during the initial opening phase of the business. Penetration pricing is the strategy...
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...Product, Pricing, and Channels Paper Agavni Saakyan, Amanda Tate, Andrea Nunes De Moraes, Angelita Onate, Aquintas Bradley, Nicole Bentley MKT/ 421 July 14, 2014 The Life Skills Center offers a variety of products and services for individuals and families in need. These services allow an individual to better opportunities to advance themselves and overcome addictions. A person or family in need can come to the center to obtain their GED, obtain help with job hunting and interviewing techniques. We also offer more detailed programs such as counseling and addiction programs to help those in need make better choices for not only themselves but their families. Having a center that offers a variety of services gives someone in need options to make better choices. Our client’s needs will be solved in a variety of ways. A potential client could come to the center and enroll in our addiction program. This program will help this individual overcome their problems and open their eyes to new opportunities and possibly a new life. These opportunities can also be worked upon within the center. Once their addiction program comes to an end, they can seek a new opportunity; such as obtaining their GED. Taking this first step allows so many other doors to open for them to become a better person and get back to contributing in the workforce and society. Once the GED program is completed, the life skills center will help them channel their interest in careers, look for a career and...
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...Product, Pricing, and Channels Paper MKT/421 November 5, 2014 Joe Cheng Product, Pricing, and Channels Paper KIND offers three lines of differentiated snack bars, which includes whole nut and fruit bars—KIND Fruit & Nut, KIND PLUS, and KIND Nuts & Spices. Some of the products are packaged in varieties of smaller contents of about 100 calorie-range portions. The products are so differentiated due to the combination of natural and delicious content devoid of any array of chemicals, preservatives, and fillers found in most other snacks. KIND bars are healthy because the bars are made from all natural fruit and nut. It constitutes a good source of fiber. In some cases they are free of Trans fat and more so, are cholesterol free with very low sodium levels. KIND healthy bars are made from one hundred percent whole ingredients from almonds, pumpkin and hemp seeds, pea crisps and spices. The products are marketed in varieties of flavors such as vanilla, blueberry, almond, chocolate, apple cinnamon & pecan, peanut butter and strawberry. These variety flavors, enhances the taste bud of different targeted age groups. They contain 10g of protein per bar. The protein-packed bar is made up of twenty-two percent protein made from a combination of legumes, nuts and seeds and also containing all nine essential amino acids (kindsnacks.com). The Peas protein bar is an easily- digestible, non-GMO source of plant based protein extracted from peas. Finally the Ideal Combo is one...
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...discuss a pricing strategy (Penetration or Skimming). Pricing is very important strategic element. The pricing strategies impinge on featuring products, channel decisions, and promotions. The researcher realizes there is no real determine pricing, following a life cycle for developing the pricing of Destini’s Closet product. First, develop market strategy – which the researcher evaluated and conducted a marketing analysis to identify the market segments, target market, SWOT analysis, and the market positioning. Second, marketing mix decisions – the researcher defined the product (Clothing), contacted manufactures for distribution, and decided promotional tactics. Now the researcher is focusing on the cost productions, price of substitute products, and prices offered by the competition. The researcher notices that competitors change their prices often. Case scenario, competitors are always looking for a competitive match, this can be an advantage and a disadvantage for the business. Competitors may strategize a different packaging of their product; this can be good for Destini’s Closet by reducing their price. It’s all up to the customer wants and needs. The demographic crowd the researcher is focusing on would rather price reduction then a new look to a product. What if production price are rising? If production price is rising it’s up to the Destini’s Closet to determine the price increase without turning the customers to their competitors Two commonly known pricing strategies...
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...Pricing strategy and Channel Distribution Anthony McKenzie MKT 500 Marketing Management Prof. Deidre Guion November 13, 2011 Determine and discuss a pricing strategy (Penetration or Skimming). The marketing penetration strategy its intention is to raise market shares of any product or services that is still prevailing in the consumer market. This particular pricing strategy was adopted by companies and business in order to increase their sales revenue merely because there wasn’t really a need to make any need to make any needless changes that could affect their products or services The other side of market penetration points out that there are other existing businesses or company that selling their products and services to the consumer. However, they can foresee their existing sales figures can change by using the marketing penetration strategy (Market Penetration Strategy, n.d.). Determine and discuss pricing tactics (Product line pricing) Value pricing, Differential pricing, or Competing against private brands) to be used for your product. The pricing tactic choosing to help promote the sales of products for the Alpha & Omega Medical Supply Company is Differential Pricing, the particular reason why this particular pricing tactic was selected. A company or business uses this type of pricing of their products and services. There are individuals who are living below or near the poverty level. What the company or business will do is that they will sale...
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