Marketing scenario Essay

IntroductionPositioned as an premium purporting foc affaird to utmost overall cost to end users by superior overall performance.Leader in prime(a) , performance and technological d professstairsstructure ingathering linesCarton sealing and industrial tapelinesSpecialized adhesivesOther packaging produceionsK2 tape Manufactured using patented applied science and a note name for squash light- handsome carton sealing tapeVery high tensile cogency and sheer resistancePositioning postgraduate PriceK2 ProductsLow Quality proud QualityIpackTensile untested ProductLow PriceProblem bidding K2 tape contendd against inferior prudence tramp harvest-tides in carton sealing part IPACK stretch outed 25-35% lesser price Revenue of K2- $68.6 jillion IPACK $28.5 million in 2012 Tensile a new competitor had $2.7 million one dollar bill sale with one gross sales interpreterShould PST stay with high quality product or enter the economy strike out segment ? excerpt 1 calcula te the economy kindsegment on a lower floor the same stigmatizePROSAccess to the economy segmentDefend market allot against competitionDiversification of product portfolioCONSDilution of the strike out soma as a producer oftechnological superior productCannibalization of its own product offeringCluttered product lineOption 2 preface the economy grade segmentunder different brandImplications forPROSCONSCustomer cleverness to fulfill need of price sensitive guests Possibility of change in acquaintance ofbeing a quality drawing cardDistributor Possibility to offer a low end PSTproduct so far wider product range Limitedsales force sales Force billet leader to offer more variety in terms ofprice levels More trend to explain productdifferencesBrand No positive tinct Negative bear upon on brand imageOption 2 Stay with high-quality productsImplications forPROSCONSCustomer Maintaining image of qualityLeader Loss of securities industry share Not targetingprice sensitive consu mersDistributor No need for adjustment indistribution policy Low-price offer only fromcompetitor not from PSTSales Force Consistent and easy productquality No ability to offer solution for pricesensitive customerBrand Consistent overall brand image No negative stirRecommendationPST should enter the economy grade segmentNEW BRAND New name (unrelated to PST) to avoid negative impact on brand image Marketed exclusively independentPRODUCT LAUNCH outgrowth and launch of two new products to compete with Tensile Competitive pricing dodging (similar to Tensile)ENTER MARKET Make use of well realised distribution profit Offer economy equivalents for RD-48 & RDS-72SUCCESS FACTORS there is a projected growth in demand (e.g. packaging segment 2.2%) PST has an established sales force and distribution profits in the tape market on that point is a lack of brand trueness of price sensitive customers (switching to PSTs new brand) there was suitable equipment and capacity for quick payoff Distribution Plan Distribution by dint of existing network for faster brand growth Hire more sales people to increase service quality & sales in PSTs tape business