Example like for the beauty product brand we have Pentane and SKI, or fabric and home care product brand we have Ace and Breeze. It not only convenient for the consumer to choose what to buy but also help the distributor to store the product organized. Other than that, strong distribution network is also one of our company strength. The distributor that we collaborate with us is around the world. This can lead our product penetrate to every single place. (SST. Jude, 2011) Weaknesses The weakness of our company is in aspect of online marketing.
Although we provide website for allows consumer buy our product online but it is not fully use by consumer. Compare with our competitors our online marketing experience still behind those competitors. The Incomplete of our online marketing can cause consumer swift to other brand that provide them a better online environment. Besides, lose of market share for certain product is also a weakness of our company. Competitors that produce similar product in the market might affect the consumer buying decision.
Don’t waste your time!
Order your assignment!
It may cause the product market share to be share among the competitors. Loss of market share can lead to decrease of the company profit and revenue. (ritualistic, 2012) Opportunities Online social network is the trend in a lot of countries, so it can be an opportunity for our company. Since many people are focus on social network, we can advertise our product through Internet example Like Backbone, Twitter and Google. Compare with traditional marketing, the cost of marketing our product through online social network is much lower than traditional marketing.
Not only save cost, it also very efficiency and effectively. Green and CEO friend Is also one of the important opportunities for our company. Nowadays, people always talk about take care of environment, if we introduce CEO friendly product it sure adds value to our company. To conduct an CEO Friendly product, the integrate that consists of chemical component use to produce product must be reduce and the waste of the production must process correctly without harm of environment. (Mondale, 2013) Threats Increases in cost of raw material would be a threat for our company.
When the cost of raw material is increase, the production cost of the product also increases. This increasing in cost production will force the company increase the selling price to balance the company profit. Therefore, increasing in selling price will scare away consumer and the consumer will going for substitute product, consequently the sales will be drop. Another threat for our company is existing of competitors. Competitors may follow our footsteps where they produce the product we had already launched in the market.
This can cause our market share of the product decrease from the market. (ritualistic, 2012) (NYSE) Market segmentation Procter & Gamble Co. (P&G) plan to enlarge a wide customer base for Tide OX multi- purpose stain remover. We want to let different segmentation customers to feel our reduce is easy and convenience for them to use. There are four major segmenting variables for consumer markets which is geographic, demographic, cryptographic and behavioral. We have defined the following ages as targeted segments that frequently use multi-purpose stain remover.
Housewife Laundry Single-user These particular market segments are 18 years old and above, seeking the stain remover can use in multi-purpose way such as clothes, carpet, curtain and etc. They are the consumer who always needed to use stain remover to complete their daily cleaning task. They also willing to try the different brands of stain remover and ampere it which is suitable and affordable for them to consume. Furthermore, these products are non chemical but an organic which nowadays a lot of consumer are demand. Table 1. Pie Chart of Market Segmentation Target Market Segment Strategy Laundry: According to table 1, the laundry industrial had occupied more than 50% in the market segmentation. It is because most of the laundry shops also need the multi-purpose stain remover to complete their daily washing task. Their complete range of industrial laundry care is specially formulated to clean, disinfect, soften and terrorized all types of fabric. Goodman Chemicals Corporation SAD BAD, 2010) They also prefer to use the product which not contains any of the chemical but with organic which it is quite popular in nowadays market.
Laundry is under the business to business (bib) segmentation, it defined as business transaction which is between P&G and laundry shops. It is because most of the laundry shops also need the multi- purpose stain remover to complete their daily washing task. Housewife: As we know that housewife will not easy get change to use a new product, because they have get used to a product and feel uncomfortable when they change it to a new brand product. It means that housewife is in the behavioral segmentation which defined as divides a market into segments based on customer knowledge, attitudes or uses to a product.
Actually housewife is good influences in the consumer market of fabric product. The housewife which is in generation Y, they will always willing to try the new product in the market, if they are satisfy with the product, they will shared their experience about the product with their family, neighbor, and the people surrounding them. Single-user: They are under the demographic segmentation. Single-user can be in different ages, gender, income, occupation, religion and etc. Nowadays there are a lot of single adults who live individually.
Our product is suitable for them to use because it is disposable, easy to manage and it can works in even after working hour they also will bring their unfinished assignment back home and complete it. Sometime they facing the problem which is the sofa cushion or carpets infected with a little bit of coffee drinks and hard to remove it, they are feeling lazy to take it off and wash in the washing machine. But our product is suitable for them to solve the problem because it is disposable, easy to manage and it can works in multi-purpose way.
Positioning There are a lot popular brands of stain remover which is Breeze, Presto and Softly are popular in Malaysia market. There is no slogan for Tide Ox Multi-purpose stain remover, but we create one which is “Remove stains in easy and healthy way! ” The positioning strategy that we are going to run is branding because P&G Company has a good image and well brand around the household and consumer market. We believe that every family also heard about P&G Company. P&G is among the world’s leading retail goods companies and has a diverse geographical revenue base.
The many seems to be on track to deliver a healthy financial performance since the induction of new CEO, Mr.. Leaflet. Also, P’s new product initiatives and cost reduction efforts are likely to fuel the company’s sales and earnings growth. Therefore, P are in above average of positioning in the market. Competitors positioning Users also like that the product can be mixed in various concentrations to be used as a presoaks or spot remover for upholstery, carpet or clothing. (Countermeasure. Com, 2014) Prosper, Breeze and Softly are the strong rivals in Malaysia fabric homemade market.
They obtain a lot of positive review from consumer. Below is some of the competitors’ analysis: Prosper Laundry Stain Remover Prosper have a slogan with their stain remover, which is “Don’t Just remove stains, obliterate them! ” Prosper laundry stain remover can remove the stains like blood, chili sauce, grass stains, cooking oil and milk. Stain will be removing within few minutes after using Presto laundry remover before even load the wash. Presto have a distinctive idea which is offering two different ways to use stain remover which is Presto spray (Appendix 1) and Presto gel (Appendix 2).
The function of pray is for better coverage and gel is for concentrated stain removal. (Menelaus The Wellness Company, 2014) ALL Ox-Active Multi-purpose Stain Remover ALL Stain Remover (Appendix 3) consider as a failed product in the market. It is manufacture by Milliner Home & Personal Care, USA. Their company is The Sun Products Corporation. According to some of the information from the website, they have a lot of bad reviews from the consumer which the product contains problematic, banned or contaminated ingredients. This company’s environmental and social policies, practices and performance place it among the worst 50% of companies.
Guided, 2014) Marketing Mix Strategies A product is a fundamental factor of a marketing offering. Offering a suitable type that matches the culture and behavioral factors can contribute a lot to the success of that product in the market. The quality of a product directly affects the performance, and thus relates to customers’ overall satisfaction for the product. The improvement of a product can be achieved by creating customer value and satisfaction. Tide Ox Stain Remover is a multi-purpose stain remover. It is capable of removing stains regardless if it is on a soft or hard surface.
It can be used in places all around the house; from wet places like the bathroom, to moderate places like the laundry room, to dry places like the kitchen yet the performance still maintains. Previously, this stain remover is not recommended to be used on wool, silk and leather – materials for dry cleaning only. However, after endless attempts of scientific assessment on various ingredients, the company has added a new ingredient which will allow the product to be used on dry-clean-only materials. This ingredient hastens the evaporation of the solution on the material and is completely harmless to these elicit fabrics if added more water.
Tide Ox Stain Remover’s new and improved formula enhanced the performance in comparison with the previous formula, and more importantly, at a lower cost. And lastly, the ingredients added into the new formula is organic so female users or users with sensitive skin can use it often and not having to worry about their skin getting rough or sensitive. In Malaysian culture, it is not very frequent that people acquire laundry services unless it is urgently needed or delicate which requires more attention; even so, it falls in the minority.
People in Malaysia choose to do their own laundry and that means every household needs stain removers, leading to a high usage rate. In addition to this, white collars would use this often because it is simple and convenient to use and more importantly, it saves time which white collars don’t have much of since they spend most of their time working. To comply with the high usage rate, the company increased the volume in a single unit so that users can save frequent trips to stores, and it indirectly encourages the users to use more since it will give users the perception that there is still a lot left to use.
Increasing the size and volume of the stain remover also saves the amount of containers used in packaging products, reducing the wastage of resources. And lastly, the material of the container has been upgraded to a bio-degradable plastic which is more environmental friendly. A brand signifies the company; it is a symbol, sign, design or all of these combined. The superb performance of Tides products contributed significantly to the brand’s reputation. Other than the outstanding performance, the safety of the product also played a significant role in adding the customer value.
They ensure not only human feet, but also the environmental safety of the product before launching it to the market. Like what Tide emphasized. “Safety: The Most Important Ingredient in Tide”. Tide also contributes to the society welfare. The company established a program named “Tide Loads of Hope”. This is a program that provides free laundry service for people in need. Contributions to society leads to better reputation for the brand, leaving a good brand impression for potential users. Price The only element in the marketing mix that generates profit for the company is the price.
It is the key element to determine the company’s profitability and market Since Tide Ox will be new in Malaysian market, the company will practice Market- Penetration pricing, the price will be set at 29. 99 MYRA. This method is suitable regardless whether it is meant for housewives, single-users or the laundry segment. Housewives are often known as highly price-sensitive customers. Some housewives have income, some have allowance from their husbands, but they generally try to reduce the amount of expenses they spend.
That is why promotional and discounted items attract mostly housewives and encourage them to buy more because this means the average price per unit is lower. The laundry segment are large buyers. As mentioned above, it has occupied more than half of the market segmentation, it affects their cost and profitability, so a little price difference goes a long way, hence their high price sensitivity. Assuming average single-users do not expect much from a stain remover other than it is capable of removing a stain, they would usually look for one that is cheaper or one that is harmless to the skin.
Since this stain remover has both, the low price will definitely attract single-users. This price implements the same-for-less positioning. Although Tide Ox Stain Remover is a high quality product, here are still comparable products. Scooter laundry soaker and stain remover (appendix 4) shares a few quality-wise similarities with Tide Ox’. The specialty for both products are environmental friendly and harmless to the skin, which means when people are looking for products with that characteristics, they will be comparing these two products.
However, the price will be to Tide Ox Stain Remover’s advantage. Scooter’s stain remover contains one kilogram and costs 29. 90 MYRA when Tides stain remover contains 3. 4 kilograms and costs 29. 99 MYRA, this makes Tides stain remover cheaper per kilograms. Good-value pricing is when a product offers the right quality at a fair price. So from the comparison between Tide and Scooter’s stain removers, Tides price complies with good-value pricing. Place First of all, the stain remover is a kind of household product, the intensive distribution as the channel design will be choose.
Our company chooses the channel partners which is based on several factor. Firstly, it is easily accessible for customers and prospects. In local market, company will choose a retailer or distributor which is same area and that is a famous with local market. On the other hand, if want to sell my products in other country, our company would like to choose a distribution network that provides large coverage of chosen markets. Secondly, our company wants customers to receive the best service. Thus, It tend to look for a distributor network selling same products.
They will have the knowledge and skills to sell my products. In addition, our company also offering sales incentives to the distributor, therefore can easily tap into the customer base and grow the business. Next, our company also allocates a team to monitor the performance of the channel members. Besides that, our company also needs to improve the relationship with the channel members. Thus, company will use the partner relationship management (PRM) and supply chain management (SCM) software to maintain the relationship with the channel members.
Moreover, offer the financial incentives or higher profit margin to the channel partners, so that they have more passion to sell our product compared to those of the competitors. Next, a lot of products in the market are homogeneous, that means, they have same features with small difference in packaging and pricing. Thus, and attractive to the customer. On the other hand, there are always a lot of new products hitting the household market, thus company will ensure the retailers are excited enough to hard-sell our product.
This is because company had spent a huge amount of money in distribution; therefore, winning the enthusiasm and mind of channel members is very important for the success of the product distribution. The key point of logistics activity is to correctly provide the movement of goods from point of origin to the destination. Besides that, transportation includes selection of mode, the shipment’s routing, and selection of the carrier. It is the largest single cost among the logistics activities. In fact, many decisions are made when managing the logistics activities.
When my company considering features for shipping solution for our business, company need to consider some of the criteria. Firstly, the optimal service selection, which is the ability to select the best carrier based on cost and delivery commitment. Next, company also needs to consider the logistic reporting to create reports on an ad hoc basis with logistics analytics at our fingertips. Then, the time spent on after sales service calls will be largely reduced by having fully information deadly available.
Furthermore, the process of international shipments must as fast as domestic shipments and meet the government requirements for AES electronic filing. In addition, company also needs to setup the shipment notification. That means, company need to E-mail the complete shipment information to customers. It will increase the satisfaction of customer. Lastly, the shipment tracking system is most important. It will save time on customer service calls with easy access to the shipment history, delivery status and tracking number.
Promotion Since our product is new product and did not have many people recognize it, Hereford we launch our product through advertising. In fact, a good advertising campaign will spread out the word about my products and services to attract customers and generate sales. There are several ways to advertise my product, which is newspaper, magazine, television, and internet. Newspaper advertising can promote product to a wide range of customers. In addition, advertising in a specialist magazine can reach a target market quickly. Next, advertising on the radio is a good way to reach my target audience.
If target market listens to a specific station, then the secularly of advertising can attract new customers. Television is a best way of advertising to a large market in a large area. Television advertisements have the advantage of movement, color, sight, and sound to persuade the target customer to buy It. They are very useful which we need to demonstrate the product. Lastly, advertising on the internet can be a low cost way to attract the new customers. Company can advertise it at the internet searching engine and social media, such as Google and Backbone.. Sales promotion is incentives to encourage the purchase from consumers in short term.
Therefore company is using discounts in product, the discount is “buying 1 free 1”, that means, when consumer buy one stain remover, they can gets one more for free. On the other hand, company also does a demonstration at shopping center on weekend. That is because on weekend, many families will go to shopping center for buying daily necessaries. Therefore, the new product can be purchase by them after the demonstration. The company’s public relations is the management of message between an individual or organization and media to online media such as social media press release, online newspaper, and idée.
There have increased the speed of breaking news. As an asymmetrical public relations model, it was allowed the feedback to flow from the public back to the company. Nowadays, the world is in a state of change, the communication with an internal and external public is essential and has become commonplace with the explosion of 1 to 1 communication through the new technology. Then, the direct marketing will be use to get the immediate response. The after use feedback form will be given to consumer for obtain the feedback from consumers for marketing research.