1. Another key strategy that can be implemented during the growth stage is to increase the channels of distribution. For example, Netflix pioneered the DVD home delivery system. Now, the company is leading streaming video & it has been embedded into some DVD players/entertainment devices. These can be considered NEW channels of distribution which help keep the product/service in the "growth" stage.
Class, can you think of other products in the growth stage that have added new channels of distribution to increase and/or sustain growth?
2. Additionally, here are some of the characteristics of the maturity stage:
• Slowdown in sales
• Many suppliers
• Substitute products
• Overcapacity leads to competition
• Increased promotion and R&D to support sales and profits
Class, what are some strategies that companies can use to extend a product's life in the maturity stage?
3. As defined in your textbook, points of difference (PODs) are characteristics of a product that make it superior to the competition. In other words, it's a unique strength.
Class, why can an insignificant point-of-difference lead to product failure? Can you think of an example?
4. Some have said that a brand is a promise. What does that mean and why is having a strong brand an advantage to a company and to the consumer?
5. Class, what are some examples of brand strategies? Which strategy would best fit your marketing plan topic for your course project?
Brand equity adds intangible value to products and services. The value is reflected in how consumers think, feel, and act with respect to the brand, as well as the prices, market share, and profitability that the brand commands for the firm.
6. Brand equity adds intangible value to products and services. The value is reflected in how consumers think, feel, and act with respect to the brand, as well as the prices, market share, and profitability that the brand commands for the firm.
Class, what are some examples of well-known brands that offer this extra intangible value to products? Based on the consumer-based brand equity pyramid shown in your textbook (Chapter 11), how do companies build brand equity?