Positioning and Repositioning

Positioning and repositioning Before positioning companies has to do segmentation and targeting. Segmentation is dividing the market into segments upon some set of criteria and evaluating the profitability of each segment   Targeting is selecting one or more segments and going after them Positioning is how do you want your brand to be considered by consumers when compared to other competing brands. Positioning is based on product features such as color, price, fluffiness, quality of service, innovative approach, etc.Re-positioning is when you want your brand to be considered/associated with different features. For example, KIA cars has repositioned themselves from being some brand into being a cool brand .. Cadillac has repositioned themselves from being classical car for the rich and old into more affordable elegant car †¦ Oldsmobile has tried to reposition themselves as â€Å"not your father's car† but it was unsuccessful repositioning. Re-positioning is quite lot mor e difficult and expensive compared to initial positioning.You know the saying ‘only one chance to make first impression' also applies to the world of branding. Repositioning Strengthens Lifebuoy’s 107-Year Heritage 12-02-2002  : Lifebuoy is no longer a carbolic soap with cresylic perfume. It is now a milled toilet soap with a new health fragrance. The new formulation has an ingredient, Active-B, which offers protection against germs, which can cause stomach infection, eye infection and infections in cuts and bruises. The new health perfume has been selected after one of the most extensive perfume hunts in the industry.The new milled formulation offers a significantly superior bathing experience and skin feel. The new formulation, new health perfume and superior skin feel, along with the popular red colour, have registered conclusive and clear preference among existing and new users. Lifebuoy is already used by about 600 million consumers, with about 2 million tablets sold every day. The relaunch strengthens this equity by repositioning the brand. Lifebuoy was previously targeted at the male user with an individual-oriented â€Å"success through health† positioning.The new Lifebuoy is targeted at today’s discerning housewife with a more inclusive â€Å"family health protection for my family and me† positioning. Introducing the new Lifebuoy Introducing the new Lifebuoy, Mr. Sanjay Dube, Category Head – Mass Market of HLL’s Detergents Profit Centre, said, â€Å"Launched in 1895, Lifebuoy, for over a 100 years has been synonymous with health and value. The brick red soap, with its perfume and popular Lifebuoy jingle, has carried the Lifebuoy message of health across the length and breadth of the country, making it the largest selling soap brand in the world.It is to maintain its leadership, and further strengthen its benefits of health to larger sections of consumers, that we have researched and developed this new mix. We have repositioned Lifebuoy and have made a deliberate shift from the male, victorious concept of health to a warmer, more versatile, more responsible benefit of health for the entire family. â€Å"The significant changes in formulation have registered a clear consumer preference. The new perfume has been selected after one of the largest perfume tests in the industry to ensure a universal appeal without alienating the 600 million loyal users.We are confident that this mix will deliver an enjoyable bath experience and also deliver on the core Lifebuoy properties of health and value. This will restore the brand’s growth by expanding its consumer base, † Mr. Dube added. Lifebuoy Range Lifebuoy is among HLL’s power brands, which the company is focussing on, selected on the basis of their absolute size, brand strength, brand relevance, competitive advantage and potential for growth. The new Lifebuoy range now includes Lifebuoy Active Red (125gm, 100 gm and 6 0 gm) and Lifebuoy Active Orange (100gm).Lifebuoy Active Orange offers the consumer a differentiated health perfume while offering the health benefit of Lifebuoy. At the upper end of the market, Lifebuoy offers specific health benefits through Lifebuoy International (Plus and Gold). Lifebuoy International Plus offers protection against germs which cause body odour, while Lifebuoy International Gold helps protect against germs which cause skin blemishes. In 2001, HLL’s soaps & detergents turnover was Rs. 295 crores, which is approximately 39% of the company’s net turnover of Rs. 10972 crores. HLL’s power brands in soaps registered an overall growth of 5. 3% in 2001. HLL has been significantly increasing investment behind its power brands, in innovation, quality improvement and marketing. These have been backed by major sales initiatives. In rural India, the focus is to further extend reach, which has resulted in direct coverage of about 46% of the rural populatio n as of now. In urban markets, the objective is to improve customer service.Dedicated sales teams have been formed to service key accounts and wholesalers in larger towns and cities. A cell has been set up to attend to the modern trade, comprising chain stores. Repositioning Strengthens of Maggie positioning Maggi noodles is a brand of instant noodles manufactured by Nestle. Maggi has been the highest sold noodles in India. It is a product of Nestle Brand. It took several years and lots of money for nestle to establish its noodles brand in India Maggi was invented in Europe by a person named Jullius Maggi.In India it was launched in 1980s by Nestle group of companies. Maggie had merged with Nestle family in 1947. Maggie has faced lot of hurdles in its journey in India†¦. The basic problem the brand faced was the Indian psyche. i. e Indians used to be conservative about the food habits so noodles faced a lot of problem in promoting sales. Initially nestle tried to to position th e Noodles in the platform of convenience targeting the working women. However, the sales of Maggi was not picking up despite of heavy Media Advertising.To overcome this NIL conducted a research,which revealed that it was children who liked the taste of Maggi noodles and who were the largest consumers of the product. so they came up with Maggi- 2 minute noodles with price of Rs. 2. 10 with a close of 100% margin. NIL shifted its focus from working women and targeted children and their mothers through its marketing. NIL's promotions positioned the noodles as a ‘convenience product', for mothers and as a ‘fun' product for children. The noodles' tagline,  Ã¢â‚¬ËœFast to Cook Good to Eat' was also in keeping with this positioning.They promoted the product by   1. Distributing free samples. 2. Giving gifts on return of empty packets. 3. Dry sampling-distributing Maggi packets 4. wet sampling – distributing cooked Maggi. 5. Availability in different packages 50gm,100 gm,200gm,etc.. and 6. Effective Tagline Communication. Through its ads, NIL positioned Maggi as a ‘fun' food for kids which mothers could prepare easily. Taglines like ‘Mummy, bhookh lagi hai' (Mom, I'm hungry), ‘Bas 2-Minute,' and ‘Fast to Cook Good to Eat' effectively communicated the product's benefits to target consumers.These ads had become so popular that the tagline ‘Bas 2-Minute' immediately reminded Indian consumers of Maggi noodles even several years after the ads were taken off the TV. Maggi's first product extension was Maggi instant soups launched in 1988. With the launch of Maggi soups, NIL had become a pioneer in the organized packaged soup market in India.. since then Maggi has been successful in India and launched ketch ups sauces and soups in India, which was very successful in grasping market.Though NIL tried to extend to other ready to eat products like pickles, cooking aids and paste, It was unsuccessful so dumped those products. Ma ggi is competing with Heinz Sauces and Ketchup, Knoor Soups, Kissin Sauces and Ketchup, Top Ramen, Sunfeast Pasta Wai Wai and 2 PM in corresponding categories of products and variants. Market position of Maggie: 1. No. 1 in instant noodles and sauces. 2. No. 2 in healthy soups. 3. Market share of noodles- 80% 4. current sales-5. 5crores boxes in India. Repositioning

Pacific Hospital Essay

MAJOR FACTS: With the death of Thurston Howell it left Barney Rubble in charge of the purchasing of supplies for Pacific Hospital and their subsidiaries. With this being an important responsibility, Mr. Rubble needs to make sure that he is making the right decisions regarding the suppliers of X-ray film. His main responsibility is to make sure that he is getting the best price for quality X-Ray film. Another major fact is that Kodak has been the sole supplier for Pacific Healthcare for a long time and this was due to Mr. Howell and the agreement in place. As the Director of Radiology it was with in his power to make this decision. The last major fact is that Kodak as part of their pricing deal agreed to maintain equipment and services at the discounted rate. They would not offer the same package if they were not the sole suppliers. MAJOR PROBLEMS: Mr. Howell being the sole authority in charge of making buying decisions is a major flaw. Yes he is the Director of the department, but that does not mean that he is the most knowledgeable regarding the best prices for X-ray film. In addition he should not have had the right to refuse the possibility of other suppliers. Reviewing the additional bids provided it appears that Kodak was the highest and cost the hospital additional dollars. As noted in the major facts that Kodak was willing to do the equipment maintenance and there was also the possibility that the other companies may have considered that also, but was never given the option. Kodak films are considerably more expensive than their competitors and this in turn can cost the hospital major dollars fi it is not rectified. POSSIBLE SOLUTIONS: a. With the death of Mr. Howell it left Mr. Rubble in charge to freely explore other options regarding the purchase of X-ray film. Reviewing the current contract he can determine whether or not the current contract is the most beneficial. Is what Kodak offering worth the price that they are presently paying? Mr. Rubble could attempt to negotiate a lower price  since there is already a relationship in place and this could be an advantage. The downside is the price that Kodak would be currently offering would be more expensive than the competition. b. Other options that can be explored is that Mr. Rubble can go with either Kodak or Agfa. They are offering cheaper prices per sheet and this can be an advantage and he cannot go wrong as long as they stay consistent with their pricing. The only way that this would be a disadvantage is if Mr. Rubble cannot get the same deal with either DuPont or Agfa that Mr. Howell had secured with Kodak. Kodak was more expensive, but when you add in the other options that Kodak was willing to offer it leveled out the expenses and this could be an advantage. c. As an alternative option Mr. Rubble could open up the contract for bid. In the bidding statement he could include all the services that are presently being offered by Kodak. This includes maintenance, equipment and service at the most affordable price. The lowest bid with all the stipulations will get the contract. d. Advantages speak for themselves. The winner of the contract secures a contract for the length of time specified. The disadvantage could be the length of time that it takes for the bidding process to be completed. In addition it would not have the input of Mr. Howell who has been in charge for some time and has had a reputation. CHOICE AND RATIONALE: The ideal situation would be option A. As Mr. Rubble I would stay with Kodak because there are the industry standard and provide a great deal. Kodak also needs to be made aware that there are other suppliers that could possibly offer the same. It should also be pointed out that the price per sheet is also cheaper. Kodak has a long time relationship with Pacific Healthcare and if they wish to maintain the relationship it may benefit Kodak to lower their prices to remain competitive. Kodak should be willing to negotiate lower prices to compete in today’s business and make them competitive. Putting the contract up for competition will add time and energy to the process. If Mr. Rubble remains with Kodak it can save the additional time and energy. It also needs to remind Kodak that there may be other companies that may be willing to offer the same. If the open bidding is implemented who knows how long the process will take and how long the X-ray department will be without services. Sometimes if situations  are working and beneficial it is best to leave them alone. IMPLEMENTATION: First line of business would be to examine all the companies and compare all their prices to other companies that offer X-ray film. In addition research the other companies and present them with the same option that is presently being offered by Kodak relating to the maintenance, equipment and service option. In negotiating with Kodak, I would mention to them that the other companies are offering similar offers at a lesser price. This may or may not change the current contract that is presently being offered by Kodak. This could force Kodak to change their present contract if they wish to maintain the same relationship with Pacific Healthcare. APPENDIX: What alternatives should Barney Rubble consider when addressing the problem? Mr. Rubble can simply continue with the present contract that has been on going with Kodak that was implemented by Mr. Howell and continue the same service at the price agreed upon. He could opt to renegotiate a whole new contract with other companies or one with Kodak that will lower the services that are now being offered. The last choice would be an open offer and the lowest price bid would win with the best package offer. Should Pacific’s purchasing policy allow for medical staff personnel to control purchasing decisions? The answer to this question is definitely NO. Pacific should by no means allow medical personnel to control purchasing decisions. That is the responsibility of supply chain management and purchasing agents. There are situations where medical staff personnel have the specialized technical expertise on a particular item that is purchased. If this is the case then their input can be valuable and should be considered and supported. Both the purchasing agent and medical staff should work together to get the best possible outcome. What are the advantages and disadvantages of staying with Kodak or changing suppliers? The advantages of remaining with Kodak are the fact that they are already in familiar territory. They know what to expect from Kodak and  there would be no surprises. It also seems that Kodak has been giving Pacific a huge discount for the equipment used along with maintenance and service. This offer is part of the agreement that Kodak is the sole supplier for Pacific Healthcare X-ray suppliers. An advantage is that the amount time and energy it would save Pacific Healthcare to go through the process all again and come up with nothing. A disadvantage is that they would continue to pay the higher prices instead of opting to explore their options. If the right negotiator is put in charge they may be in a position to get a better deal from another company. This being said will allow Pacific to get from under the thumb of Kodak and save them some money in the bargain. This will not be realized unless steps are taken to see what other deals can be brought into the mix. What actions could Mr. Rubble have taken prior to Mr. Howell’s death to obtain reduced film prices? Mr. Howell was the Director of radiology and in most cases his decisions were final. After exploring other options and found companies that may be willing to give similar deals, Mr. Rubble could have approached Mr. Howell with his findings. Going directly to Kodak while Mr. Howell was alive could have backed fired. Following the chain of command would have been the best option. If Mr. Howell refused to entertain any of Mr. Rubble’s ideas then Mr. Rubble could have gone to the next person in authority to express his concerns. In such a situation Mr. Howell should not have been the final decision maker. References: Pacific Healthcare Case Study. Retrieved from https://edge.apus.edu/access/content/attachment/215506/assignment/10e59ddi-8f03-44a3-aa6d-61478fa8eef7/case%20study%201%pacific%20health%20care.pdf

Important technical development Essay

The most important technical development was the unitization of the liner shipping business. The shipping industry has been so successful at exploiting this technical development that the cost of sea transport has hardly increased. Coal and Oil cost little more to transport in the mid 1990s than in 1940s. Those important causes which are mostly affecting the demand for sea transport are 8 The World Economy : As it was discussed before that world economy with its output and trade is the most important single factor to generate demand for shipping and any crisis in the world economy reflects in the demand for shipping. In table 01 its clear that ups and downs of shipping demand is also proportionate to world trade. There are 03 different aspects of the world economy that may bring about change in the demand for sea transport ,which are- The Business Cycle: The business cycle lays the foundation for freight cycles. Fluctuation in the rate of economic growth work through in to the sea borne trade, creating a cycle pattern of demand for ships. For example, two major recession in shipping business in 1975 and 1981-1983 ,which co-incited with the recession of the world economy. This economic cycles arise from a combination of external and internal factors. The external factors include events such as wars or sudden changes in commodity prices such as crude oil, which cause a sudden change in demand. Internal factors refer to the dynamic structure of the world economy itself, which it is argued, leads naturally to a cyclical rather than linear growth path. Five of the most common business cycles are- I. The Multiplier and accelerator : The main internal mechanism which creates cycles is the interplay between consumption and investment. II. Time-lags: The delays between economic decision and their implementation can make cyclical fluctuation more extreme. The shipping markets provides and excellent example for this. During a shipping market boom, ship owners order ships that are not delivered until the market has gone into recession. When the arrival of the new ships at a time when there is already a surplus, further discourages new ordering just at the time when shipbuilders are running out of work. The result of their time lags is to make booms and recession more extreme and cyclical. III. Stock building : It produces sudden burst of demand as industries adjust their stocks during the business cycle. On several occasion shipping boom have been driven by short-term stock building by industry in anticipation of future shortage or price rises. Examples are the Korean war in 1952-53, the dry cargo boom of 1974-75, mini tankers boom in 1979 and summer 1986. Tanker booms were caused by temporary stock building by the world oil industry. IV. Mass psychology : If people act in an imitative manner a particular trend will build up to a level where they can affect the whole economic system. Their periods of optimism and pessimism become self fulfilling through the medium of stock exchanges, financial booms and the behaviour of investment. V. Random shocks : Random shocks such as wars, weather changes, new resources, commodity price changes, which upset the stability of economic system may contribute to the cyclical process. Its impact on the shipping market is often very severe ,for example ,1930s depression which followed by the wall street crash of 1929. Other two aspects are The ‘trade elasticity’ and The ‘trade development cycle’-which are correlated to business cycle. Other factors which have very strong influence on shipping demand are Transport cost. Transport cost are an element in the costs of production and If transport Costs are low ,its possible for domestic commodities to be substituted for the cheaper goods supplied over great distances, which will create business opportunities for shipping. The globalisation of the world economy has reinforced the inherent and unique internationalism and fluidity of the shipping industry, while over the same period the industry has become vastly more productive, with very much larger, faster ships and new techniques such as containerisation. By understanding and exploiting world economic activities and trade pattern along with all the other factors stated above, which are mostly controlling the shipping demand, ship owners and shipping management can achieve maximum business profit. From table one it is clear that the future growth of world trade and out put will definitely create more demand for shipping. Thus the ‘derived demand’ nature of ‘shipping demand’ creating huge opportunity for ship owners and shipping management to profit from the ups and downs of world trade. References 1. whitepaper of DTLR on British Shipping Charting a New Course ,para-9,obtained from www. shipping. dtlr. gov. uk/cnc/index. html ,or menu-whitepaper, october2001. 2. Chrzanowski I, 1985, An Introduction To Shipping Economics, Fairplay Publications. 3. Abrahamsson B J, 1980,International Ocean Shipping: Current Concepts and Principal, WestView Press. 4. McConville J,1999,Economics of Maritime Tansport,p42,The Institute of Chartered Shipbrokers, London  www.isl.org

No topic Essay Example | Topics and Well Written Essays - 250 words - 45

No topic - Essay Example This company has developed an innovative way of conducting its advertisements. As such, the company has adopted branded entertainment as a key strategy of ensuring that it conveys the adverts of its clients in an effective manner. This has been evidenced by the ability of the company to place the adverts of various products in comic books, video games and Broadway musicals that include the pop music (Bradley, Kelley and Hudson 6). The company has also realized that entertainment is a rich platform, which can be used to convey various adverts on products that companies adverts. This is because entertainment attracts a large number of potential customers of products from different companies. Branded entertainment is also facilitating in improving the viewership of the quality adverts. Hence, consumers have illustrated a positive acceptance of this form of advertisement by make purchase choices, which are based on these