Question

Using the same product you used in Assignment 2, determine and explain how the marketing mix should change at different stages of the product life cycle, proceed as follows: for (Nike)

• Introductory Phase: Your strategies should establish the market and create demand for Nike.
• Product: Branding is established.
• Pricing: This may be low penetration or high skim pricing, for example.
• Place: You may / may not have selective distribution until there is consumer acceptance.
• Promotion: Focus on innovators and early adopters to build product awareness and education of potential consumers about the product.
• Explanation: You must explain how the above strategies change for the remaining product lifecycles (i.e., growth, maturity, decline).

Answer 1

Marketing strategy for NIKE shoes:

• Introductory phase: NIKE shoes are costly and represent high style. It is assumed that these shoes can be availed by high-end consumers and who has sense of styling along with comfort and love for the brand.
• Product: The product mix refers to important decisions related to the product such as quality of the product, design of the product, packaging of the product, etc. NIKE is a high class brand which refers as the identification of the product. The symbol of NIKE also helps to make the product superior than competitor's product.
• Pricing: Price must match the utility of the product. Price mix refers to the important decisions related to a fixing of price. For example to determine the price of thee NIKE shoes, price of the competitors, decisions related to demand and decisions related to fixing the cost must be taken. Price of the NIKE shoes ar generally high.
• Place: NIKE shoes are demanded more in metropolitan areas where the number of high-end consumers live and maintain a higher standard of living.
• Promotion: Celebrity face in the advertisement of NIKE shoes in television or internet websites can have a great impact on the market. Packaging should be attractive in order to attract more consumers.