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Product and the CUEGIS concept, Brand m - Coggle Diagram
Product and the CUEGIS concept
Globalization
Global brands:
Products that are so popular internationally for ex, Coca Cola. Their image is similar wherever they are sold making the marketing mix similiar
(-) It is no doubt more difficult to strategize in the marketing, operation of a product if a business has global brands
Culture and Ethics
Global brands have been
glocalized
to cater for local preferences, based of the country's cultural and ethical considerations of course.
For ex: Mcdonalds Indonesia once had a nasi uduk themed meal on their menu to cater to the Indonesians' tongue and taste (but they still have their original products on the menu)
Change
Technology, fashion, taste and trends are always changing.
Businesses that do well are those who can are receptive to change
. They can adapt their product portfolio to suit their customers' tastes.
For ex: One of the main reasons for Nokia's bankruptcy is because they chose to not respond to the changes in the demand. They were eaten out by their competitors.
Marketing myopia
: when businesses become complacent about their product strategy and fail to keep up with the changes in the market.
Innovation
Innovation in technology (for ex) has led to
strong global competition
and business strategy focus on continuous innovation
For ex: Apple and Samsung are always producing new types of product due to the intense competition in the technology industry.
Brand management
is important especially when these innovations shorten a product life's cycle most of the time. SWOT analysis can be used to analyze the product and even markets.
Increasing product mix
is a strategy. It helps generate revenue and spread risks. For ex: Starbucks sold exclusive music albums along with their coffee.
Product strategies
must be integrated with other elements of the marketing mix for it to be successful.
BUT this is not always easy. Different products require different strategies.
To remain competitive, a business must
plan its product strategy carefully whilst managing a diverse portfolio of products
Many large companies benefit from multi-brand strategy: when two or more brands are developed in the same product category. For ex: Sprite and Fanta by Coca-Cola
(-)
Product cannibalisations
: when these products compete each other
The Boston matrix and product strategy:
BUILD
- turn the ❓ (question marks) into ⭐️ (stars) : invest enough resources for the question mark to gain a higher market share
HARVEST - turn ⭐️ (stars) into 🐮 (cash cows) : use profits from cash cows to advertise stars to make them a cas cow
HOLD
- Keep the cash cow as a cash cow 🐮 : investment is low but the business keeps to invest just enough to keep the cash cow at its position
4.
DIVEST
- getting rid of the dogs 🐶 : free up resource to invest in question mark or other products
Brand m
