Marketing Management [with Indian Case Study]

by Gupta Prachi

Does Marketing Create or Satisfy Needs? Marketing has often been defined in terms of

Consider the three key forces driving the new marketing realities. How are they likely to change in the future? What other

users located in Venice. The extensive product testing by a wide variety of users provided Pegasus with valuable product feedback and has led to several design improvements. Table 2.5 Break-Even Analysis Monthly Units Break-Even 62 Monthly Sales Break-Even $ 7,760 Assumptions: Average Per-Unit Revenue $125.62 Average Per-Unit Variable Cost $ 22.61 Estimated Monthly Fixed Cost $ 6,363 5.0 Financials This section will offer the financial overview of Pegasus related to marketing activities. Pegasus will address break-even analysis, sales forecasts, and expense forecast and indicate how these activities link to the marketing strategy. 5.1 Break-Even Analysis The break-even analysis (Table 2.5) indicates that $7,760 will be required in monthly sales revenue to reach the break-even point. 5.2 Sales Forecast Pegasus feels that the sales forecast figures are conservative. It will steadily increase sales as the advertising budget allows. Although the target market forecast (Table 2.4) listed all of the potential customers divided into separate groups, the sales forecast (Table 2.6) groups customers into two categories: recreational and competitive. Reducing the number of categories allows the reader to quickly discern information, making the chart more functional. Table 2.6 Monthly Sales Forecast Sales 2015 2016 2017 Recreational $455,740 $598,877 $687,765 Competitive $ 72,918 $ 95,820 $110,042 Total Sales $528,658 $694,697 $797,807 Direct Cost of Sales 2015 2016 2017 Recreational ...

Although their enhanced capabilities can help

companies earn strong customer loyalty, increased

(a) an internal records system, which includes information about the orderto-payment cycle and sales information systems; (b) a marketing intelligence

| Fig. 6.1 | Model of Consumer Behaviour

Much of Nike’s initial success came from engaging target consumers through grassroots marketing efforts such as sponsorship of local school teams, expertconducted clinics, and provision of shoes, clothing, and equipment to young athletes. Citibank provides different mixes of banking services in its branches depending on neighborhood demographics. Retail firms such as Starbucks, Costco, Trader Joe’s, and REI have all found great success emphasizing local marketing initiatives,

Marketers and researchers use various perspectives to study brand equity.24 Customer-based approaches view it from the perspective of the consumer—either an individual or an organization—and recognize that the power of a brand lies in what customers have seen, read, heard, learned, thought, and felt about the brand over time.

A brand promise is the marketer’s vision of what the brand must be and do for consumers.

“flying in an iPod or nightclub.”

Energized differentiation measures the degree to which a brand is seen as different from others as well as its pricing power. Relevance measures the appropriateness and breadth of a brand’s appeal. Esteem measures perceptions of quality and loyalty, or how well the brand is regarded and respected. Knowledge measures how aware and familiar consumers are with the brand and the depth of their experience.

Power: a prediction of the brand’s volume share Premium: a brand’s ability to command a price premium relative to the category average Potential: the probability that a brand will grow value share

Protectable —How legally protectable is the brand element? How competitively protectable? When names are in danger of becoming synonymous with product categories—as happened to Kleenex, Kitty Litter, Jell-O, Scotch Tape, Xerox, and Fiberglass—their makers should retain their trademark rights and not allow the brand to become generic.

isnt that a good thing?