Marketing new product

Marketing new product

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Introduction

The telecommunication industry has grown really fast especially the mobile industry .According to a survey the number of mobile subscriptions has reached over 500 million by the end of 2012.This population represented almost 90% of the world’s population while developing countries had an 80% representation. It is estimated that the mobile industries focuses on apple ,Google , Amazon, social media platforms and android as the major mobile internet use. Mobile phones have become a way of life not only for working but for socializing and at the same time the devices are becoming an extension of our own arms. It is estimated that 82 % of traffic is represented by smart phones while only 18 percent of the total global handsets are smart phones (S. Ramesh Kumar, 2009).

Companies are changing the phones on a weekly basis from small gadgets to tablets, and now a new sensation called Phablets. Phablets will be introduced to the market to assist in shifting the traditional use of computers. This is because of the need for network access by clients as it is estimated by the year 2015 all developing countries will have up to 40 percent access to mobile internet. Mobile companies will soon be involved in huge benefits from the mobile craze that has engulfed the whole world. The only way companies can make massive profits is by identifying the rise in gaming, mobile social synergies, mobile takeovers and portal erosion.

In a statistics released recently it is estimated that in 2013 83% growth of tablet shipment has been observed while only 13% has been observed in the shipment of PC. Now with the new crave of large screens on phones the new phablet would be enjoyed easily. The screen size of mobile phones has grown drastically from an estimated low of 2.6% to 4.9% by 2014.The large screens have become more valuable as they are not bulky and non portable as the pc at home. They also rival the tablet in that they have larger screens which are better in viewing information, accessing internet, storing data. Take for example the Samsung galaxy s5 which had a 5.5 inch display and an IPAD mini which has a 7.9 percent screen which would definitely be accepted in to the market more easily due to screen and functionality overlaps.

The demand for larger tablets at home is exceptional and families would prefer larger Phablets to traditional PCS. The phablet is the major craze and the introduction of the larger and more powerful Phablets would be extra ordinary (Khan, 2007). A phablet as compared to a regular tablet carries more features and has better resolution as compared to normal smart phones and are handier than tablets. The major advantage of using a phablet is that it has a more powerful processor that a regular Smartphone and has a better multimedia experience. The y have are easier to text and have increased market share in the Asian industry as compared to any other place in the world. The Phablets have received a huge welcome in the US where the Samsung in traduced the product and the other brands are trying to cost cover.

Phablets are the future and it is clear that personal choice and preference are the sole decision makers. The only better reason to have a phablet is because they are convenient multifaceted and practical. Introducing a new product in the market such as phablet requires patience and understanding. The growing interest in technology stems from a variety of reasons. The phablets helps a user reduce the bulky baggage of having to carry both the tablet and the smart phone. Its large screen display allows for both gaming and multimedia functionality. Its large battery size allows for better power storage and can deliver more talk time.

There are various factors that are considered in a market for a new product this include :determining the target market, solution or enhancement, knowing the competition and branding your product, the unique selling proposition, testing, media campaign and understanding the lifecycle of the product.

The target market will help a company identify who he or she is selling to. To identify the audience depends on what product a client is offering, This will help reduce cost of advertising and increase sales in a better effort, Example is the phablet ,the target audience is the family that would require a gadget that would be effective both at home and during cruises. Targeting as defined and indicated above is where organizations target products amongst various segments. Targeting involves evaluating the attractiveness of markets, size growth and market power. Sony offers electronic gadgets for various marketing segments. They understand audience and each electronic device fulfills needs and expectations of the target market.

As compared to the regular tablet that is for the younger generation this Phablets would also be ideal to them as the social media platform has become a major trend. As indicated above it is better to break the factors to try and reach the biggest audience either by gender, age lifestyle, job .family status, educational level or location.

The new product has to have a marketing plan to enable it to be successful .Identifying what the audience needs is critical for competitive advantage. A company needs to figure out what the target market needs and should be ready to provide a solution to the problem .A family would prefer to have a device that would be used by the family at home and at the same time be used by kids in case they want to travel.

This need would eventually be satisfied by the introduction of phablet which has long battery life and can be used by all. A company has to evaluate how competing brands are marketing their product. They should be conversant with the competition to help understand how best to market the product.

Competition is an eyesore to those who do not wish to prosper, a scholar once said. The market is always crowded with new product and a new product has to identify its hare in the same market. Understanding the competitors product will help understand why people would prefer his product over yours. To maintain the pace of consumers for advanced technologies and cutting edge digital product that have enriched and promoted peoples lifestyles (Khan, 2007).

Market research will help you set a retail value to be slightly better than competitor. This will eventually sway some customers to buy your products. Then as soon as the clients are conversant with the new product a slight increase in price will help moderate the profit margins (S. Ramesh Kumar, 2009). It is also important to have reading material from the client’s product to be aware of any new developments. E.g. in the mobile industry the screen of the mobiles are increasing day in and out, this would be an easy opportunity for the phablet to penetrate the market and with its exceptional features and overlapping functionalities.

Unless a new product has been invented competition is a must. Branding a product will help consumers identify with the product. To get maximum exposure a company can get with discounted prices, give always, logos or allowing for promotion and advertising. Imprinting water mark would also be ideal in reducing the possibility of copycats making an imitation of your product.

The above factors are most important and in order to identify competition product position is important. This entails defining market segmentation and then understanding the target market. Once consumer perceptions are understood it’s to select the best product position. The position can be defined by understanding process and goals of market segmentation. Some include quality, reliability and unique features benefits. Product position is ideal in an organisations profits and growth.

Technology took a turn of events in the 21st century where communication changed rapidly from telephone, Mobile phones texts, internet mails and now the social media. Social media is a platform that enables people to connect with each other (Noel, 2009) .The ideology behind it was to create a technical foundation for users to educate one another. Online communication is now a phenomenon that has intrigued many analysts. Analysts have now taken the popularity of the social media and speculate that the marketing field has found a new point of sale.

Social media is a platform that enables people to connect with each other .The ideology behind it was to create a technical foundation for users to educate one another .The sources of online information are mainly used by marketers to share products with consumers on their products, services and brands in the available market (Noel, 2009).

Business has found a new platform of engaging customers virtually and this has strengthened bond between organization and customers. Multinational corporations are using social media sites to acquire feed back through online dialogue e.g. Coca Cola, Nike and others. Studies have shown that Uses and gratification theory can be relevant in assisting social media uses.

Gratification are good predictors and show how customers can use media to fulfill their needs and want. They can also predict media use and recurring media use. There are different frameworks that explain some relevant themes such as: Social interaction, Information seeking, pastime, relaxation and entertainment, communicatory utility, convenience utility (S. Ramesh Kumar, 2009).

Big data and social media is usually unilateral and after content. Social media thus creates and generates a lot of data. The use of big data helps to get insight on the development of marketing strategies. This enables marketers to track purchasing and trends. This will help estimate the number of clients who want a specific item as compared to competitors. Through storage of huge volumes of data on users by social media platforms, and this vital information is necessary to compete in the modern day market. Federal law restricts it only until by court order or national emergency. Some networks track other networks and this integration shares a lot of information.

It is important to note that y using this monitoring platforms we can use it to drive campaigns, this can be done by tracking trends, addressing consumer concerns, and identifying key influencers(Noel, 2009). The main importance of big data is to better the social communication between two or more individuals is referred to as social interaction. This theme uses social media to assist, meet people and helps organization become conversant with social happenings while interact with others.

Information seeking: The uses and gratification theory uses information obtained from research and internet usage to help self educate and information marketing decisions. Big data helps to create more targets and helps in personalized campaigns. Big data helps marketers predict future behavior because there is sufficient amount of marketing data (Khan, 2007). a. This is helpful as it will help reveal hidden patterns that will assist in predicting future and current buying behavior.

Big data helps testing and creating virtual simulators that measures the overall company’s success (Khan, 2007). The virtual market place is a large area where a company can test its products. Through BIG data social media marketing has been affordable and inexpensive; this has been as a creation of cloud services and other enterprises.

Conclusion

Consumer behaviour influences the marketing mix policies such as production policies, price policies, decision regarding channels of distribution and decisions regarding sales promotion. There are reasons consumer behaviour is essential in that we can understand the social factors that are influenced by preference.

The Nielsen’s annual global social media report has cited the influence of social media on consumers purchasing decisions .Singaporeans discussed products and services such as restaurants, foods and beverages purchases which are based on social media sites. Singaporeans have said that it would be better to hear a referral on traveling and entertainment through social media. It is estimated that 68 %to 70 % of consumers in Singapore shop online.

The report broadened the aspect of internet marketing which had clearly influenced the market. Beverages and travel issues were discussed online which would be an ideal place to market a product. The managing director of Nielsen indicated that social media can impact business by becoming a positive favor with consumers. Social media provided a huge opportunity an as the survey suggested it showed the correlation between social media sentiments and intention to purchase products and services.

Factors such as, Personal, psychological factors make a marketer understand how to motivate consumers to buy products. Understanding consumer behaviour and marketing boost business effectiveness overall. Marketers also consider how consumers use existing products and this will assist in spotting unsatisfied needs in serving profitability

Consumer behaviour helps us understand the customer and understanding why the consumer purchases the produce (Khan, 2007). t. It helps marketers research about clients attitude toward certain products. Product appeal to lifestyle, culture and experience will make marketers promote consumption and gain competitive advantage over other competitors. Consumers usually look for ways in which a product will make them happier, improve lived or give them pleasure. Consumer behaviour helps us understand the customer and understanding why the consumer purchases the product.

It helps marketers research about clients attitude toward certain products. Product appeal to lifestyle, culture and experience will make marketers promote consumption and gain competitive advantage over other competitors. Consumers usually look for ways in which a product will make them happier, improve lived or give them pleasure (Noel, 2009).

Referencing

Noel, (2009) Basics marketing 01: Consumer behavior volume 1 of basics marketing. (Vol. 1, pp. 56-126) Switzerland: AVA Publishing.

Khan, M, (2007) Consumer behavior (pp. 1-15) London: New Age International

S. Ramesh Kumar, S. R. (2009). Consumer behavior and branding: Concepts, readings and cases-the Indian context. (p. 75). New Delhi: Pearson Education India.