Marketing proposal sample of Comparison of Product strategy

Sunday, January 15, 2012

Marketing proposal sample of Comparison of Product strategy

Introduction of the Project.

Product strategy is like a roadmap and like a roadmap it’s useful only when you know where you are and where you want to go. (McGrath 2001).

Product strategy is one of the core component of the overall marketing strategies. It is the heart of the firm’s overall strategies. To survive and succeeded in a competitive market a firm must continuously monitors the need of its target customers and satisfy the customers by making changes in its product in line with the changes in the need. A product strategy is a process that allows an organization to concentrate its limited resources on the greatest opportunities to increase sale and achieve a sustainable competitive advantages.

It should be centered on the key concept that customer satisfaction is the main goal. It is most effective when it is an integral component of corporate strategy; how the organization will successful engage customer’s prospects and competitors in the market arena. Customers constitute the source of company revenue through sale .A key component of Product strategy is often to keep marketing in line with a company’s overarching mission statement.

A product strategy can serve as the foundation of a marketing plan. A marketing plan contains a set of specific actions required to successful implement a product strategy. For example “use a low cost product to attract customers” It must take in account the capabilities in terms of engineering of production of distribution existing in the company or of time to acquire them.

It must evaluate the customer’s expectations at the time of delivery.The product itself guides decisions that a business makes to achieve market place success. A successful product strategy must be well planned and organized. Decisions makers assesses the product attribute, industry and the competitors. The information is used to develop a product strategy designed to achieve short term and long term sales revenues and distribution goals. Research is used to identify needs and desires of target customers to develop the product strategies.

Background of the Project.

Product strategies provide avenue for growth to the business. If a business understands its customers and markets perfectly, it will be able to implement an effective product strategy which would give best results. However, a failure to implement and effective product strategy would spell the end of the business as customer perceptions about the company would go towards the negative side. Once the company starts losing market share, a rapid decline of the business would be on its way.

This might turn out to be a disastrous situation for the company. However, if the same is implemented correctly and with thorough understanding, product strategies could act as a platform to launch the company to success and increase its profitability. No product strategy can be described as being correct or better than the other. It entirely depends on the framework and environment in which the strategy is being implemented. So, Companies have spent vast sums of money on marketing research aimed at developing effective product strategies.