Read the case given below and answer the questions given at the end. An electric

Question

Read the case given below and answer the questions given at the end. An electric gadgets manufacturer wanted to market in India a new small, hand-held electronic instrument for measuring blood pressure at home. The price of the instrument was fixed at around 500 dollars a piece. Being a specialty product, it was perceived to have only limited clientele. As the firm had no established channel of distribution, it decided to take the direct marketing route. The product was unique in the sense that it offered the convenience of constant monitoring of blood pressure at home, in office or anywhere. It could save a lot of time and inconvenience. Since it was a relatively expensive, senior professionals, executives, and businessmen above 45 years age, having an income of more than 5000 a month were expected to be the prospective buyers.

a) What procedures could the firm adopt for identifying/enlisting/ and finding the prospects who are willing to purchase this product?

b) What elements of promotion mix would be more appropriate for the company to market blood pressure instrument and why? cutting price, advertising more, or hiring more aggressive (and obnoxious) sales-people

c) Should your promotional mix change over time? And if yes, why and how?

Explanation / Answer

1. One of the most critical concern of entrepreneurs is to identify the target market and potential buyers. Every organization works to define its target market and its traits. One method to identify the potential or prospective buyers is to make a list of all the features of the product provides in the target market. Then, list all the benefits related to these features. Since, in our case the product is hand-held electronic instrument for measuring blood pressure at home. The management must make a list of all the features provided and the benefits relevant. First, one needs to understand the product well to promote it among the buyers. Since it was a relatively expensive, senior professionals, executives, and businessmen above 45 years age, having an income of more than 5000 a month were expected to be the prospective buyers. These are the markets the firm must pursue. To approach the prospective buyers, a business marketing plan must be made addressing the following key points after considering the target buyers:

1. Where do they live, work?

2. Where do they buy their goods & services?

3. Observe and analyze their purchasing decisions.

4. What the company can deliver to suit their purchasing needs and desires?

5. What are the buyer's needs, wants, desires, hobbies while shopping?

Another way of approaching is to promote the product by displaying in trade fairs, events. The company can use the technique of holding workshops nearby their homes and offices.

2. Promotion mix is one of the marketing tools. It includes activities helping the firm to communicate the product's benefits and advantages and to convince the prospective buyers to buy that product. The elements of promotion mix are advertising, sales promotion, personal selling, publicity, direct marketing, sponcership, corporate placement, product placement. In this scenario, advertising, public relations, corporate image and product placement would be appropriate elements to be used.

Advertising : It implies presenting and promoting of concept and ideas of the products in a mass medium by a sponsor. EX: printing of ads, television, radio, brochures, posters, mobile apps, web pages, emails, banners, etc.

Public relations: This includes articles in newspapers and magazines, Television and radio presentations.

Corporate image: Holding health campaigns and workshops to make people aware of the instrument.

Product placement: Paying a television show or movie theater to include product prominently in the show and during breaks and intervals in movie studios.

3. Yes, a company must change the promotional mix overtime with the changes in the market trends and competitors. Every product has a limited lifecycle and every product require different promotional mix strategy. Having the right marketing strategy and promotion facilitates the plan to get successful between the competitors. It may lead to the pioneering stage where the firm is able to get the monopoly in the market. Some of the common promotional strategies used are: social media, blogging, brochures, TV, radio, websites, sponsorship, word of mouth, media releases and many more.

There are other different ways to promote the products in the market. They are as follows:

1. Trade promotion program

2. Exhibitions in trade fairs

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