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ELITE PRODUCTS
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IKEA PRODUCT LINES/MIX/DEPTH
Exhibit 9 IKEA PRODUCT LINES/MIX/DEPTH
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PRODUCTS STRATEGY Ansoff Matrix
Present Future Product Development Market Penetration Diversification Present MARKETS Future PRODUCTS
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Pulau Sambu Industry - KARA Marketing
Bandar Kinrara, Puchong. Malaysia
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Coconut Products 110
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PRODUCTS STRATEGY-B.C.G
Problem Children Star Dog Cow High RATE OF GROWTH Low Large Small MARKET SHARE 116
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Campana Buffalo’s Mozzarella Cheese
DOC (Certified Origin Brand) and DOP (Certified Provenance brand EEC) 114
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BUFFALO MILK VERSUS COW MILK Lower cholesterol content - Significantly, the cholesterol content of buffalo milk is 0.65 mg per gram as compared to the corresponding value of 3.14 mg per gram for cow’s milk. More proteins - Animal bioassays have shown the Protein Efficiency Ratio (PER) value of buffalo milk proteins to be 2.74, while that of cow’s milk is 2.49, giving buffalo milk about 11.42% more protein than cow’s milk. More minerals - Buffalo milk is also superior to cow’s milk in terms of minerals, particularly calcium, iron, and phosphorus, which are higher by 92%, 37.7%, and 118% respectively than those in cow’s milk. More Vitamin A - Buffalos metabolize all of their carotene into Vitamin A, which is passed on in their milk. Source: Dairy India Book
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MEAT NUTRITION FACTS Source: USDA data Species Fat Calories
Cholesterol Saturated fat (Buffalo 2.42 g 143 kcal 82 mg 0.91 g Beef extra lean 16.33 g 256 kcal 84 mg 6.42 g Pork 18.19 g 265 kcal 105 mg 5.15 g Chicken* 3.57 g 165 kcal 85 mg 1.01 g Source: USDA data
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MARKET COVERAGE * M1 M2 M3 M1 M2 M3 M1 M2 M3 P1 P2 P3 X X X X X X X X
* M= Market Segment, P=Product 119
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GENERAL ELECTRIC GRID Industry Attractiveness Strong Average Weak High
Medium Low Business Strength
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COST-BASED VERSUS VALUE BASED PRICING
Cost – Based Pricing Product Cost Price Value Customer Value – Based Pricing Customers Value Price Cost Product Source: Thomas T. Nagle Reed K/ Holden, The Strategy and Tactics of Pricing, 2nd ed. Englewood Cliffs, NJ: Prentice Hall, 1995 p. 5
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PRICE EVALUATION MARKETING OBJECTIVES COST APPROACH
Survival Profit Maximization Market share Quality Leadership Leadership COST APPROACH Cost Plus Break-even Benefit CUSTOMER’S VALUE APPROACH Ultimate Luxury Shopping Convenience Me Too COMPETITION APPROACH Historical Price Discrimination
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BREAK EVEN PRICE Fix Cost /Number of Units + Variable Cost = Price Number of Units = Fixed Cost/ Price-Variable Cost Revenue Variable Cost Pb Breakeven Volume Fix Cost Price Qb Breakeven Price
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Case Studies OLGA CHAIR LACK & Profile SKOPA CHAIR
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PUSH VERSUS PULL STRATEGY
Marketing Activities Demand Push Strategy Manufacturing Intermediaries End Users Demand Marketing Activities Pull Strategy Manufacturing Intermediaries End Users Demand Demand
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PSYCHOLOGICAL VALUE BRIDGE
Advertising Personal Promotion Public Relations Message Selection Execution Review Money/Budget Stage of PLC Competition Mission/Objectives Sales Goals Advertising Goals Strategy Who & Where When What & How Measurement Communication Sales Media Type – Impact Timing Segment 128
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Story The Prisoner Sport Man Sexual Impact? Stimulation Impact
132 Sport Woman
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PHYSICAL VALUE BRIDGE
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FORCES DRIVING INDUSTRY COMPETITION
Potential Entrants Threats Bargaining Power Bargaining Power Suppliers Industry Buyers Competitors Substitutes Threats
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MARKETING RESEARCH
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COMPETITIVE ADVANTAGE DEPENDS UPON INDUSTRY POSITION
Market - leader strategies Market - challenger strategies Market - follower strategies Market - nicher strategies PM 3.9 Marketing strategies for competitive advantage
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SECTION PURPOSE PM 3.11 Contents of a marketing plan
Executive summary Presents a quick overview of the plan for quick management review Current marketing situation The marketing audit that presents background data on the market, product, competition and distribution SWOT analysis Identifies the company’s main strengths and weaknesses and the main opportunities and threats facing the product Objectives and issues Defines the company’s objectives in the areas of sale, market share and profits, and the issues that will affect these objectives Marketing strategy Presents the broad marketing approach that will be used to achieve the plan’s objectives Action programmes Specifies what will be done, who will do it, when it will be done and what it will cost Budgets A project profit and loss statement that forecasts the financial outcomes from the plan Controls Indicates how the progress of the plan will be monitored PM Contents of a marketing plan
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