Perceptual Maps in Marketing
The capitalist system is such that commodities are bought and sold every day. The largest part of the equation is how to make the variety of commodities appeal to the masses, so more is sold, so profitability is higher. This system affects all even when the effect goes unrecognized.
Under the consumerism circumstance, marketing is an important part of sales, without marketing the best product would not generate a profit because no one would know of it. To that end there have been market researchers, market planners and market analysts for generations. In the end making the best marketing decisions is easier with a formula, in this case a perceptual map.
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When the author checked the virtual she found that she could have done better had she added price and services as areas to strive for.
The author was asked to decide whether Cruiser Thorr should be continued and repositioned or, if a new, less expensive model of motorcycle should be designed and marketed. The author chose to keep the Thorr, increase service offerings and market safety and quality engineering to appeal to an older demographic. In addition she believes that to offer the item at a lower price would indicate poorer quality. Customers usually associate a compromise in the quality of a high image product with a reduction in price (PMS, 2009). Rather than put the product on sale, the author chose to offer exceptional items at no extra charge, if quality engineering is present, one should not need much over basic maintenance anyway.
This scenario is reminiscent of the Harley Davidson brand. By selling the brand to a competitor who chose to cheapen the product and offer it at a discounted price the item became synonymous with poor quality and a cheapened image (Imperato, 1997). However, BMW is synonymous with exceptional service and this is the image that Cruiser Thorr strives to meet.
Overall, all market demographics want better service offerings while the older demo want lifestyle, high quality, installment plans, safety, and cool product design. By repositioning Cruiser Thorr, the organization should maintain price, increase services by including training to dealers, and add financial services, services to owner groups, club membership, and customization options.
Promotion options include offering insurance and protection plans, sponsoring events such as Daytona, and hire celebrities for endorsement, while place should include internet (manufacturers website), distributors and dealers.
The authorâ€™s performance rating during this section was excellent, while providing financing was called a good move, in addition to maintaining the price.
One Year Later
One year later, 350 men surveyed in the 25 to 55 year range, rated Cruiser Thorr very highly in lifestyle and image as well as solid and stable. Most of those surveyed agreed that the overall image signified power, was a status symbol and they loved cruisers. In addition, this survey indicated that the product characteristics, including most powerful engine and highest engine capacity were above average in the Thorr. However, these same men agreed that the Thorr was overall very expensive and the price exceeded the amount budgeted for a motorcycle. As the author designed the new marketing/ reposition strategy the results were gratifying.
New Perceptual Map
Finally, sales show that with...