CASE 1

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CASE 1

The case talks about the perception of the P&G Company regarding the introduction of women's toothpaste in the market. It talks about the various fancy benefits provided by the toothpaste like taste of the toothpaste that includes hints of vanilla and cinnamon, and in the mouth, the product produces a mild tingling sensation that P&G hopes will associate with fresh breath and healthy gums The primary target for this product is the middle aged woman. In order to reach this group, the teal-toned toothpaste is marketed in a teal tube, inside a "glimmering pearlescent box

After reviewing the case in the Indian market context the issues arises are as follows

  1. Consumer response to a women's toothpaste in Indian context

  1. Marketing strategies involved

  1. Market segmentation of the product

  1. Threats to the product

First issue is consumer's response to toothpaste meant for women if launched in Indian markets won't be a successful venture and the response would be a negative one, as if a product is launched in Indian market it would be then targeted towards masses and not for elite class only. India is a vast and multi-cultural country; therefore products like pepsodent and Colgate are major hits in India. But if we consider Crest Rejuvenating Effects toothpaste in this case, it is targeted towards micro-marketing

In micro-marketing, products are suited to the tastes of individuals (women) or to a particular segment. The kind of packaging and the flavor being used for this toothpaste is not economical for the Indian middle class women and if bought by them, then it would be used by the whole family and not restricted to only women, which will be against the marketing strategy of the product

Second issue is that what kind of marketing strategies would be involved in promoting this toothpaste- MARKETING STRATEGIES

By following disruptive strategy, I will promote this toothpaste as "I want to be your toothpaste" to make a lasting impression on women. To constantly promote this and make it successful consumers (women) were needed to be reminded with consistent messages or else they wander off to other products. If proven scientifically that this toothpaste would be beneficial to their dental structure and gums, then more and more women will buy this product

Customers can be communicated about the product through direct marketing strategies which involves customer networking

Concentration strategy: single product single segment

The company pursues large share of one or few sub markets rather than a small share of a large market

Third issue involves the kind of segmentation considered- Here the psychographic segmentation is considered. Then it would focus on women involved in recreational activities like spa treatments. It also targets on cosmopolitan women involved in shopping classy and unique products

Some women believe in giving opinions about each and every product introduced in the market, they can be targeted for the product. Some are enthusiastic to experiment with different products; they can be targeted for the product

Fourth issue revolves around the threats involved-- inherent risks involved in this is when the demand suddenly drops or if a strong competitor enters the same sub market

Once it is greatly marketed their consumers will become intensely loyal ones; consumers who would happily go from shop to shop until they found what they wanted and it is something the customer would not do without

CASE 2 :FREQUENT FLIERS JUNKIES

The consumer behavior concepts that helps us to understand the strong behavioral impact of frequent flier programs are as follows

Self actualization: it can be explained with this example, earlier people were restricted to certain areas now they can collect all the points and can plan for far away destinations for vacationing, spiritual purpose, etc

Esteem: more the number of points more the point's holder is recognized in different categories like gold, platinum, silver points holder and is treated accordingly

Belongingness needs: collecting more and more number of points by way of spending on various services and products, people were making their lifestyle more lavish and easier. Safety needs: people could spend more on their safety needs like Preventive medicines, smoke detectors, insurance, retirement plans, etc by selling their collected points to others and thus they were earning money

Physiological needs: expenditure on food, clothing, housing were also increased as people were spending only on those products on which they can earn flier points, so their living standard were also increased and wants too

Managerial implications of consumer behavior concepts are as follows

The case deals with the offering of the free miles which started way back in 1981.Initially it started as a promotional measure by American Airlines but later on it became a business whereby even on the use of credit cards, hotels etc. people were getting free miles. A lot of problems cropped up as people were getting wild for miles

Obsession

Having more extra miles became an obsession for the people as even after having sufficient amount of credit cards people wanted more just to earn that extra mile.

Status /Esteem

As the case deals with the motivation theory, we can very aptly say that it was the collection needs i.e. collecting more than it was needed and the entire. More than an obsession people started associating the collection of miles as a status symbol

Misuse

The another issue that arose in the case was people started misusing the miles that they got as in they started hoarding the miles and later on sold it to some other people at higher prices. Miles almost became a second currency in the country. People were exchanging flier miles for money for varied purposes. These programs even permit all sorts of members to reserve space on sold-out flights, giving members the ability of bumping regular paying passengers

Security Issues

Another major concern was the security issues as in people started travelling on behalf of others which in turn aggravated the problem

The above mentioned points are certain issues which were faced and tackled by the airlines but now the questions arises why these people who earned that extra mile were called as "junkies" why not only the frequent fliers

BENEFIT: Retailer those who were associated with frequent flier program are able to tap into the demographic pool of potential customers with above average discretionary incomes

RECOMMENDATIONS

  1. Access to business and first class lounges with an economy ticket

  1. Access to other airlines' lounges

  1. The ability to reserve specific seats, such as exit row seats with more leg room

  1. Free or discounted upgrades to a higher travel class

  1. Priority in wait listing or flying standby

  1. Preference in not being bumped if a flight is oversold

  1. Priority of luggage (to be prioritized on transphere and to be displayed on the belt first)

  1. Ability to grant status to another person

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