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Hiba M

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The product life cycle stages show how a product transitions through its NPD (New Product Development) stage to growth, maturity, saturation, and decline. This is an important tool for marketers and business owners. Because it helps to plan the investments required, and forecast the profitability that the business can generate throughout the lifespan of a product.  Various marketing strategies are used at each stage to maintain the product’s competitive edge and sustain its demand in the market while those that do not stay abreast with innovative strategies and changing demand patterns are bound to decline. Product Life Cycle Stages The figure below illustrates how a new product transitions through different product life-cycle stages during its entirety. Following this, we’ll discuss each stage briefly to explain what happens when any product passes through. New Product Development: This is where the product idea gets conceptualized and developed after which it is…

Marketing tactics are strategic methods and high-level ideas that help promote the goods and services of a company and facilitate sales and maintain a competitive edge over other players in the market. Good marketing tactics increase business efficiency while at the same time satisfying customers. Tactical marketing focuses on tactics a business employs to enable and streamline tasks as per the devised strategy. For instance, if there is a requirement to increase product penetration in the market by 10% then a strategy is needed to increase manufacturing, distribution, and advertisement to persuade consumers to buy the product repeatedly perhaps through offering a better value proposition. If a marketing tactic is highlighting the company spokesperson through motivational speaking then you would highlight that person through videos uploaded and live transmissions on social media platforms (Facebook, Twitter, Instagram, LinkedIn, blog posts etcetera), article placement in business journals and newspapers, and interview placements,…

Before we dive into describing the different types of products, let’s start by defining what a consumer product is. Simply put, a consumer product is something that has been purchased by the end consumer or a household for their consumption. 4 Different Types of Products There are four different types of products as we explore this concept in-depth, these are; ‘convenience products’, ‘shopping products’, ‘specialty products’ and ‘unsought products.’ Convenience Products: These are the most frequently bought products which do not require a lot of buying effort, and are often bought immediately without much comparison to other brands. These are purchased often and fall in routine, thus appealing to a large market. For instance, sugar, salt, hair brush, or laundry detergents etcetera fall in the category of convenience products and are low priced and readily available when needed. Because of not having a high price, companies must sell…

We’re going to illustrate some horizontal integration examples to help you understand why it is used, and how it helps business to win against competing companies. In a nutshell, horizontal integration refers to the acquisition of a company operating at the same level of the value chain. The acquired business can belong to either a similar industry or different one. Unlike in the case of vertical integration, whereby a company either expands upstream or downstream. A few horizontal integration examples will enable us to clarify what it means in a better way. You can refer to some below, in this post. Why is Horizontal Integration Used? A horizontal integration is a business growth strategy (or a competitive strategy) that could be implemented for a number of reasons varying from: Diversification and pursuit of increased product offerings, increasing product differentiation Achieving economies of scale Trying to curb down the competition Gaining market…

Vertical integration refers to the business strategy where the company acquires or merges with other companies at different stages of production or distribution channel in the same industry. In other words, it acquires business operations within the same production vertical. This could be forward or backward in nature. It is the merging together of two businesses that may be at different stages of production, for instance, an oil exploration company and a retail chain of gas stations. In a three-tier model, it refers to the manufacturer, wholesaler, and retailer. A company that acquires or expands into a manufacturing facility is called to have integrated backward whereas; one that expands forward, thus establishing its presence into distribution is known to have conducted forward integration. The most popular and relevant examples are from the oil industry dating back to the 70s and 80s when many of the oil exploration companies that dealt…

Value proposition refers to the key features and aspects of a product or service that give the company or brand a competitive edge over others. It, therefore, serves as an attraction for customers and gives them a reason to choose a particular company’s product offering. We’ll use a few value proposition examples to explain the concept in greater detail. What is Value Proposition? A value proposition gives your prospects of doing business with you over your competitors and highlighting it in marketing campaigns helps in adding value to the brand. In a nutshell, it combines relevancy, quantified value, and unique differentiation. Your product’s ability to solve a customer’s problem to improve his/her experience addresses the concept of relevancy, being able to provide benefits refer to qualified value, while the product’s competitive advantage denotes the unique differentiation. Value Proposition Examples Writing a good value proposition is like any other…