THE PRODUCT LIFE CYCLE Slide 11-11 Product Life Cycle Primary Demand Primary Demand Introduction...

THE PRODUCT LIFE CYCLE

Slide 11-11

• Product Life Cycle

Primary Demand

• Introduction Stage

Selective Demand

Skimming Pricing

Penetration Pricing

THE PRODUCT LIFE CYCLE

Slide 11-16

• Growth Stage

Repeat Purchasers

• Maturity Stage

Deletion

Harvesting

• Decline Stage

THE PRODUCT LIFE CYCLE

Slide 11-19

Length of the Product Life Cycle

• Some Dimensions of theProduct Life Cycle

Shape of the Product Life Cycle

• Generalized Life Cycle

• High-Learning Product

• Fashion Product

• Low-Learning Product

• Fad

THE PRODUCT LIFE CYCLE

Slide 11-24

The Life Cycle and Consumers

• Some Dimensions of theProduct Life Cycle

• Diffusion of Innovation

MANAGING THEPRODUCT LIFE CYCLE

Slide 11-28

• Modifying the Product

Product Modification

Finding New Users

• Modifying the Market

Market Modification

Increasing Use

Creating New Use Situations

MANAGING THEPRODUCT LIFE CYCLE

Slide 11-30

• Repositioning the Product

Reacting to a Competitor’s Position

Catching a Rising Trend

Reaching a New Market

Changing the Value Offered

• Trading Up

• Trading Down

• Downsizing

BRANDING ANDBRAND MANAGEMENT

Slide 11-35

• Branding

Brand Personality

Brand Equity

Creating Brand Equity

• Brand Name

• Brand Personality and Brand Equity

Valuing Brand Equity

BRANDING ANDBRAND MANAGEMENT

Slide 11-39

Manufacturer Branding

• Picking a Good Brand Name

• Branding Strategies

• Multiproduct (Blanket/Family) Branding

• Line Extension • Brand Extension

• Subbranding

Multibranding

BRANDING ANDBRAND MANAGEMENT

Slide 11-45

Private Branding

• Branding Strategies

• Private Labeling

• Reseller Branding

Mixed Branding

CREATING CUSTOMER VALUE THROUGH PACKAGING

AND LABELING

Slide 11-46

• Packaging

• Communication Benefits

• Functional Benefits

• Perceptual Benefits

Label

GENERAL PRICING APPROACHES

Slide 12-18

• Demand-Oriented Approaches

Skimming Pricing

Penetration Pricing

Prestige Pricing

Odd-Even Pricing

GENERAL PRICING APPROACHES

Slide 12-23

• Demand-Oriented Approaches

Target Pricing

Bundle Pricing

Yield Management Pricing

GENERAL PRICING APPROACHES

Slide 12-27

• Cost-Oriented Approaches

Standard Markup Pricing

Cost-Plus Pricing

• Profit-Oriented Approaches

Target Profit Pricing

Target Return-on-Sales Pricing

Target Return-on-Investment Pricing

GENERAL PRICING APPROACHES

Slide 12-29

• Competition-Oriented Approaches

Customary Pricing

Above-, At-, or Below-Market Pricing

Loss-Leader Pricing

ESTIMATING DEMANDAND REVENUE

Slide 12-30

• Fundamentals of Estimating Demand

Demand Curve

• Consumer Tastes

• Price & Availability of Similar Products

• Consumer Income

ESTIMATING DEMANDAND REVENUE

Slide 12-32

• Fundamentals of Estimating Demand

Movement Along vs.Shift of a Demand Curve

• Elastic Demand

Price Elasticity of Demand

• Inelastic Demand

DETERMINING COST, VOLUME, AND PROFIT RELATIONSHIPS

Slide 12-43

• Break-Even Analysis

Break-Even Point (BEP)

Applications of Break-Even Analysis

Calculating a Break-Even Point

• Break-Even Chart