Marketing mix, Product Life Cycle & Business Road map Flashcards
Marketing mix
a foundation model for businesses, hystorically centered around product, price, place and promotion
Target market
Product, price, promotion, place
Two type of based pricing
Value based (market driven)
Cost based ( costs + profit)
Marketing mix, customer perspective
Percieving value of the total offering (not only product)
Will also consider his own internal costs/benefits
Willing & able to pay for your offering
Marketing mix, seller perspective
Final price - costs -> profit levels
Willing to accept (profit & succesfull)
Product life cycle (PLC), why?
Makes it visible how far you are in the life cycle
Analyze & manage your product portfolio
Forecast sales trends (=expected PLC)
To decide when it is appropiate to take certain business actions, such as investments, promote, reduce prices/costs/harvest/sell
Product life cycle (PLC)
- Development
- Introduction
- Growth
- Maturity
- Decline
Development stage (PLC)
No sales volume
High investments
Offering is not yet completely defined
Promotion
Introduction stage (PLC)
Low sales volume
Still investments in product & market
Offering is basic
Promotion (build awareness)
Growth stage (PLC)
Sales volume growth
Controlled investments
Marketing mix
Maturity stage (PLC)
Profit peaks
Highest, more or less stable sales volume
Investments to maintain the position and further reduce costs
Heavy competition, only major players remain
Marketing mix
Decline stage (PLC)
Falling sales & profit
Minimize production
Take easy opportunities to keep profit
Consider your exit
Marketing mix
Technology Adoption Life Cycle (TALC)
To explain how people respond to innovations that require the person to change their past behaviour
Business road map, business development
the creation of long-term value for an organization
Business development planning
Forecasting: match ‘what’s out there?’ with your organization capabilities
