Framework for: Product launch. Date: Company: Market 1: Market 2: Market 3: Market 4: Participants: Copyright Pyramid Communication AB
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1 Framework for: Product launch Date: Company: Market 1: Market 2: Market 3: Market 4: Participants: Copyright Pyramid Communication AB
2 Profitability is created through the right offer A successful product launch has a lot to do with positioning the product correctly and formulating an attractive offer. When a product range is extended it is often discussed how it should be completed: in the bottom to create the volume, or on top to increase the margin. In this situation it is easy to pay too much attention to the sale force that claims that the product is too expensive, and that revenues would increase significantly if there were a cheaper product version. The risk you take by building on the ground is that the entire market position will degenerate. And if this process has already started, it is difficult to raise the prices again. Instead, it is often wise to supplement the range on top according to a classic cola recipe. In a famous hamburger chain you could find colas in two different sizes: small and large, and the sales was distributed more or less evenly between the two different sizes. When the range was supplemented by a third size, it might be logical to introduce a medium. Instead, they chose to supplement it with an XL, i.e. even bigger than big. Immediately the distribution of sales changed to 25% small, 50% large, 25% XL. Through this strategy, the sales volume increased by about 50%. If we instead had chosen to complement the medium, the total sales volume had probably gone down. When formulating the message and offer, EFI (Feature-Advantage-Meaning) is an established model for defining the communication message in line with the marketing and branding strategy chosen by the company. The selected target group and our positioning should control the focus of the message. If our communication has a technology focus, it should be based on rational arguments, often product characteristics. If we have a cost focus, our communication should be based on economic motives and the savings the product yields. If we have a customer focus, our communication should have an emotional foundation and be concentrated on the final product effect. Framework for... Pyramid has extensive experience in B2B branding, and we would like to share it with you. This document summarizes the issues worthy of consideration in the development of a branding strategy. Don t expect any fixed or general solutions. Successful solutions are the result of a concerted effort, based on the right assumptions and facts. We use a customized version of this structure when we go through projects so feel free to use the material as a checklist or as a basis for discussion. If this seems interesting and you want to discuss marketing strategy on a deeper level, you are always welcome to contact us at info@pyramid.se
3 Marketing goals What do we want the campaign to achieve? Market Sales goals From existing customers Product Product advantages What do we want to sell? Product description: Which products/services/ assortment, system, etc? What characteristics does the product have, what advantages are created, and how does the customer benefit from them? Feature Benefit Essence Market Who do we want to sell to? In what industries, company sizes and geographical areas do we find the most interesting customers? Target groups Who initiates interest, and who affects or makes decisions about choice of supplier and product? Initiates purchase Specifies Evaluates Chooses Decides volume Signs the purchase order
4 Buying motive Sales argument Target group Key demands on product/supplier Our product argument Competitive situation Who are we competing with? What distinguishes directly competing products, services or suppliers? What can substitute for our product? Marketing situation What does our marketing situation look like? Market Sales conversion rate Number of salesmen Number of new customer visits per salesman and week Product and company profile What do we want to tell the market about in the short term? How do we want to be perceived in the longer term? Marketing strategy What is the most effective marketing strategy? How do we achieve the greatest synergy between sales force and advertising material? Communication goals What should our advertising campaign achieve? What reactions do we want from our target group(s)? Timeplans How should activities be planned, with regard to sales resources, seasonal demand variations, personnel vacations, etc.?
5 Media Target group matrix Media Target groups Publicity Articles Direct mail Trade press Newspapers Banners Telemarketing Exhibitions Newsletter Internal information Sales training Company presentation Public website Campaign website Product information Existing customers Potential customers Authorities Organizations Mass media Suppliers Shareholders Financial institutions Sales force Other employees Campaign result goals Marketing goal Communication goal Average order size Number of responses Number of new customers Usable leads Conversion rate Time plan Initial meeting Marketing action plan part 1 Presentation Text Photo and illustrations Approval Original production Approval Repro and printing Delivery Campaign start Agency Customer
6 Pyramid builds brands and creates remarkably profitable, cross-border communication for international companies with high ambitions and entrepreneurial spirit. What should one do to stick out, to break through, and to do so with credibility intact? We have proven methodologies that lead to the answer. Together we can: - create cross-border communication beyond the expected - attract a global market across national borders - take advantage of all media, digital and analog, with an open mind - bridge cultural barriers and reach professionals - cross-fertilize knowledge and experience from different areas of industry - integrate our skills across disciplines and coordinate the communication In Pyramid, you have a partner who: - spars with you on a business strategy level - focuses on your organization - market-adapts your offers - positions your company - differentiates your products and services - builds strong brands - stimulates your sales team - attracts the right target groups - gets your business to grow globally - optimizes what you get from the Internet i.e. boosts your growth and profitability. Pyramid Communication AB, Box 1026 (Bergaliden 11), SE Helsingborg, Sweden Phone: , Fax , info@pyramid.se,
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