1.27 Enterprise and Marketing in the Development of Products

Question 1

Customer identification

Answer 1

• Knowing your target market and/or target user can help massively in the success of a product
• Market research helps to find out crucial background information such as age, gender, disposable income, residential location, and recreational interest, which all impact on the product design and outcome
• Market research can also identify why customers are motivated to buy certain products, such as social and emotional needs, family needs, budget pressures, brand preferences

Example:
Adult sci-fi enthusiasts may be more likely to buy products with a space-age or sc-fi theme

Question 2

Labelling

Answer 2

• Labelling can be used to promote the brand or to attract customer attention
• It can also inform consumers about important information, for example:
  • nutritional information on food packaging
  • use-by dates
  • the BSI kitemark or the CE mark to indicate that a product meets basic
  safety standards for sale in Europe

Question 3

Packaging

Answer 3

• Design cannot be ignored in product marketing and branding
• Many manufacturers use their packaging design as an integral part of brand identity
• An early example is Apple, which had minimalist, clever packaging for its products that were revolutionary at the time
• Coco-Cola uses its distinctive bottle shape, which has changed very little over the years

Question 4

Corporate identity

Answer 4

Corporate identity means the branding used to present the image of a company to the public

• Designers use colour or combinations of colours, logos, and typeset (letter fonts) to create and brand name
• Customers will often return to a brand they like or have had a good experience with
• Manufacturers protect their brand identity using registered trademarks, this prevents rival companies copying their logos, colour schemes and specific letter font style

Example:

If a consumer bought a pair of trainers that were uncomfortable, they would be less liekly try that brand again.

Question 5

Global marketing

Answer 5

Global marketing means the process of promoting a final product or service worldwide

• By reaching international markets, a business can grow rapidly and be known across the world
• Marketing strategies may differ from country to country, depending on cultural differences and designers must be aware of religious and cultural beliefs in different countries
• The language of slogans must also be used with care so that the message does not mistranslate and inadvertently cause offence

Example

Large fast-food chains have different menus that are suitable for use in different countries

Question 6

Advertising and promotion

Answer 6

These are crucial in serval stages of the life cycle of a product

Product introduction:
- marketing departments use a wide range of media to advertise their
products, to create interest and demand
Product growth:
- marketing departments often use magazine articles and online platforms
to promote the features of their product and its advantages over those of
their competitors
Product decline:
- a product series may be produced for a short time before a new model
comes out

Question 7

Examples of forms of advertising

Answer 7

• TV commercials
• Radio commercials
• Magazines advertisements and articles
• Internet pop-up adverts
• Billboards
• Social media
• In-store demonstrations

Question 8

Social media

Answer 8

• Potential customers across the world can be reached relatively easily and with low cost
• Retargeted marketing uses the data collected from cookies on a customer’s browsing history to introduce pop-up adverts the next time they log in; the pop-ups will be linked to items they were browsing
• Personalised video ads are also used, often with images and campaign text and a ‘buy now’ button to direct customers to a ‘checkout’
• Social media also has the advantage of ‘viral marketing’, where a customer passes a marketing message to their friends. If this leads to a large number of recipients who pass on the marketing message, that message ‘goes viral’.

Question 9

Direct costs

Answer 9

• Direct labour (wages of people making the product)
• Direct material costs (materials used to make the product)
• Direct consumable production supplies
• Direct factory overheads (machine tools and equipment used to make the product)

Question 10

Indirect costs

Answer 10

These are not specifically associated with making a particular product but are involved with running a business as a whole, such as:

• Administration (personal, hardware, and stationary)
• Security
• Maintenance and depreciation of equipment
• Electricity and power

Question 11

Entrepreneurs

Answer 11

• Entrepreneurs commonly work with designers and engineers to turn their ideas into reality
• Occasionally, Entrepreneurs will have the skills to invent and design their own products, e.g. James Dyson who created the Dyson range of products

Question 12

Collaborate work

Answer 12

• This is usually carried out by designers in the industry
• Collaborate design work involves working in a design team, either face to face or virtually using video conferencing and other file-sharing platforms
• It can include working with people in different countries and/or time zones
• Collaborate design means that designers with different skills and expertise can work together to create the best product
• The creative and technical process is spread and covers more than a single person would be expected to have expertise in