Marketing Plan: Part IV In this unit, you will continue to build upon your marketing plan for an existing company and a product or service of your choice. For Part IV, including the sections listed be

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Marketing Plan

Unit IV

MKT 3301

Principles of Marketing

Casidy Landry

Columbia Southern University

Marketing Plan

Products

My small online business sells hygiene and cosmetic products. I've decided to focus my efforts on developing my new "Organic Body Butter" product. This organic body butter can be used to nourish and moisturize the skin. Because this product is of high quality, I believe its price should reflect that. I think this product will appeal to individuals looking for an organic and natural skin care product. Furthermore, I believe that the pricing of my product will set it apart from competitors (Kienzler & Kowalkowski, 2017). This is a premium product, so expect to pay around $50 for a single jar.

My product qualifies as a convenience good since it is a frequently used item that simplifies the user's routine. My product's use of high-quality materials ensures that it will perform its intended purpose for an extended period. Because it is an expensive luxury item, my product is ultimately a high-involvement good. My brand-new product is about to enter the market. As a result, the product is at the start of its life cycle. My primary goal at this time will be to increase brand awareness and product interest. I intend to achieve this using a combination of web advertising, social media marketing, and public relations.

Price

When it comes to pricing my products, I want to charge a premium that is proportional to the item's quality. I believe that using this pricing structure will make my product stand out from the crowd. I also think a high asking price will offer exclusivity and luxury to my service (Glantz, 2021). Various essential factors will be considered when deciding the selling price for my products. The cost of materials, the cost of advertising, the level of competition, and market demands are a few examples. The resources will largely determine my product's final price I must invest in its creation. I must price my products high enough to pay the costs of materials, production, and shipping.

The expense of advertising and promoting my products is also a vital consideration. If I want to run a profitable marketing campaign, I need to charge a profit-generating price for my items. Another critical factor to examine is the amount of rivalry in the industry. Because other identical products are vying for the same audience, my offering may need to lower its price. Customer demand is an essential factor to consider when determining the selling price of my goods. If there is a significant demand for my product, I may be able to raise my rates. I may have to cut the price if there isn't much interest.

I have several options for pricing my products. Pricing techniques such as cost-plus, value-based, and competition-based are a few examples. "Cost-based pricing" refers to basing a product's price on its production costs. This strategy is typically used when there are few rivals. Setting a product's worth based on how much value it delivers to the buyer is an example of value-based pricing. This strategy is frequently employed when there is a lot of competition in the market. The term "competition-based pricing" refers to a pricing strategy in which the price of a product is established concerning the costs of competing items. This strategy is typically used when there is a lot of rivalry in a market. The various pricing approaches were investigated, and after careful consideration, I opted to price my product based on its perceived value. To maximize profits, I want to charge a price that reflects how much customers appreciate my items.

Different price-adjusting approaches allow me to experiment with the base price for my service. This category includes coupons, promos, and deals. Temporary price reductions are a popular pricing tactic. This method can be used to boost sales during slow periods or to get rid of excess inventory. Another way to minimize costs is to offer discounted coupons for a specific product. This method is advantageous for both sales and new clients. A "promotion" is a systematic approach to adjusting prices by offering a free or discounted item with the purchase of another one. This method could boost sales or promote a brand-new product (Scott, 2022). After considering all options, I decided on a discount scheme for my goods. I'm hoping that by offering a limited-time price cut, I'll be able to enhance my sales.

References

Glantz, G. (2021). Evaluating Audiology Pricing Models, Identify the pricing objectives and delivery model that works best for your practice. The Hearing Journal, 74(8), 22,23. https://doi.org/10.1097/01.hj.0000770996.72603.ea

Kienzler, M., & Kowalkowski, C. (2017). Pricing strategy: A review of 22 years of marketing research. Journal of Business Research, 78, 101-110.

Scott, W. (2022). Ten Charts Explain How Asset Price Inflation Harmed the Economy More Than Consumer Price Inflation. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.4188032