Phil Company II - Strategies, Tools, and Techniques for Marketing Success - Research Paper Example

? PHIL COMPANY II This essay entails the development of a comprehensive marketing plan. At this stage, we will evaluate the final steps required of an effective marketing strategy. Marketing comprises of numerous interrelated activities all aimed at developing a concrete distribution and retail strategy. One of the numerous aspects is product branding. A product brand can be defined as objects or phrases comprising of descriptive verbal attributes or graphical representation, which serves to convey the commercial message about any given business entity. A product brand should take into consideration the target consumers and any other marketing forces like competition and innovations (Julian, 2011). This means that a company should create a brand after acknowledging the influence of economic forces on any given marketing environment. In the contemporary business environment characterized by economic forces created by free enterprise, a company’s brand has proven to play a substantial role in ensuring accomplishment of marketing objectives. Therefore, modern managers should develop reliable skills of initiating and developing a company’s brand. In the context of Phil Company, we will strive to create a brand that deems appropriate for the company’s marketing strategy. From a theoretical perspective, creation of a brand starts at the definition stage whereby a manager defines what a company’s brand should mean to all the interested stakeholders. Upon defining a company’s brand, the responsible manager determines clear objectives meant for that company (Julian, 2011). Based on the business profile of Phil Company and the prevailing marketing forces in the electronics manufacturing industry, Phil can develop a concrete brand by articulating marketing research information into their decision making processes. Research information helps in brand creation because it highlights the key stakeholders and their respective expectations with respect to the company’s marketing practices. In the context of Phil Company, research findings show the expectations of selected market segments. After an accurate definition of the brand, the next step should involve specifying the intended objectives of that brand to the interested stakeholders. A typical brand should communicate the intended message to the target audience(Peter, 2004). A brand should create a vivid perception of a company’s products’ qualities and uniqueness. Phil Company emphasizes the need to differentiate their product with respect to the element of competition in the industry. As a result, the brand developed will influence the target audience at an emotional level. The content of the created brand should achieve a feeling of connection to the consumers. In addition, Phil can achieve loyalty among the consumer population by engaging in the house of brands. In order to reach all its target audience, Phil Company will engage in active brand positioning, both at the domestic and the international market environments. Brand positioning can be achieved through the use of advertisement channels like the media, both television and print, or through the internet. Employment of these modes of advertisement will facilitate substantial positioning of Phil’s brand in both markets (Peter, 2004). Product pricing is another essential element in marketing. In a competitive environment characterized by the typical forces of free enterprise, product pricing is influential in a company’s marketing process. A business environment enjoying the economic aspect of free enterprise allows easy entry and exit from any product industry. In this regard, the electronic products industry in the US and at the international level has numerous competing manufacturers. Therefore, Phil has to consider the influence of pricing during the development of their marketing strategy. Phil chooses to adopt three pricing strategies that can facilitate the development of comprehensive pricing principles. The first pricing strategy adopted by Phil is customer-based pricing. Both the company’s domestic and international market segments are full of strong competitors. Based on this attribute, the company will be mindful in setting prices that conform to those provided by its direct competitors (Julian, 2011). Apart from competitor-based pricing, Phil Company employs the element of cost-based pricing in determining the appropriate value of their products. In every production process, the company collects and keeps all the direct costs and production overhead in order to objectively determine the total cost of production. Upon determination of this cost, Phil usually adds a certain percentage of the cost in setting a product’s price. Phil will also consider adopting customer-based pricing, especially in their new market segments like the newly acquired market share in Africa. With respect to the customer based pricing, Phil’s management emphasizes employment of penetration pricing during the introduction of products. During product introduction, the company sets a low price for their new products in order to attract sizable customers. Upon attraction of a substantial consumer share in any given market segment, Phil responds by rising the new product’s price to an economical level. Employment of all these pricing strategies enables Phil to maintain an effective marketing strategy (Peter, 2004). Based on Phil’s mission statement made during the first stages of the marketing plan, Phil aims at availing quality products to all the target customers. This means that all their products and services aim at achieving quality related objectives. In this regard, the company’s brand will be positioned at a high end in any given market. Any introduced product should respond positively because of the high end position assumed by the company’s brand. This calls for articulation of the most appropriate pricing strategies is ensuring the realization of an effective brand positioning at any given market segment. In the first place, customer-based pricing strategy takes into consideration the elements of competition and customer responsiveness, with respect to the product prices. Since the company’s brand assumes a high end position in both markets, adjustment of prices in a manner that serves to address consumers’ needs will enhance product sales. Penetration pricing ensures that any new product attracts substantial customers’ attention. Therefore, the customer-based pricing strategy goes well with the principles of the underlying brand strategy. In addition, the other pricing strategy which includes customer-based and cost-based operates well with the subject brand positioning (Julian, 2011). After production of goods at any given industrial setting, the manufactured goods should be relayed to the end users. Delivery of these goods to the target end users takes the efforts of numerous parties who perform some exclusive functions. In this case, a company can achieve effective distribution of goods through the use of the appropriate distribution channels. In the context of Phil Company, product distribution occurs through the concerted efforts of industrial distributors, wholesalers and retailers. These retailers include supermarkets and electronic stores, which sell the company’s products directly to the end users. The wholesalers purchase products from the manufacturing sites in bulk, only to resell them to other resellers like retailers. Industrial distributors, who deals with business-to-business marketing activities facilitates distribution of the company’s products in bulk (Peter, 2004). Creation of a distribution channel takes into consideration the most probable place where the target consumers acquire their service of products. In essence, most electronic product consumers acquire products of their interests from retailers, especially super markets and electronic stores. Most companies belonging to the electronic industry use retailers and wholesalers in conveying their products. In addition, internet marketing is gaining popularity among the electronic products manufacturers. The three distribution channels covered above are examples of channels used to avail products to consumers. Phil Company adopted these channels since the company’s inception. However, there might be the need of shifting from one channel to another. This shift is likely to meet some challenges or barriers, which include high cost of changing distribution channels. For example, adoption of internet retailing could prove financially demanding to the company. The current distribution strategy adopted by the company has been effective in meeting some fundamental marketing objectives (Peter, 2004). In marketing Phil’s electronic products, a pull strategy will be appropriate and effective in reaching the target consumers. The company aims at availing quality products to consumers. In this regard, every product availed in the market should incorporate some service production and quality assurance from the company’s marketing personnel. The element of using advertisement and any other promotional services aims at attracting the consumers into considering buying Phil’s electronic products. Engagement in direct marketing, which entails personal communication between the marketing personnel and the perceived consumer, still aligns to the principles of pull marketing strategy. In addition, Phil emphasizes the need of acquiring consumer feedback after the purchase and use of their products. This shows that the company needs an effective response mechanism to relay the required information back to company’s marketing department (Peter, 2004). In this context, all the marketing practices adopted by the company subscribes to the elements of pull marketing strategies. In marketing, an effective distribution strategy influences the success level of a company who operates in a competitive marketing environment. Distribution facilitates availing of products and services in a professional and timely manner. Phil Company uses retailers and wholesalers in relaying their products to the end users. This means that in order to develop a reliable distribution channel, Phil will strengthen its relationship with their retailers and wholesalers. The company should supply the wholesalers with the right quantity of products within the required timeframe. Constant and regular supply of products to the company avoids stock shortages; hence enhancing customer loyalty. In this regard, Phil should ensure that the retailers and wholesalers maintain an economical inventory of their products. For other business opportunities which might result from distribution, Phil Company may consider incorporating the internet as an additional distribution channel. This may prove helpful based on the fact that consumers in modern electronic products markets are sophisticated and sensitive to product information (Peter, 2004). Reference List Julian, D. (2011). Distribution Channels: Understanding and Managing Channels to Market. New York: Kogan Page Publishers. Peter, C. (2004). Key Marketing Skills: Strategies, Tools, and Techniques for Marketing Success. New York: Kogan Page Publishers. Read More