New Product: Alberta-Q It will appear in the family brand and house colour with slogan ...Quality at affordable price Planning Meeting: The senior management team of Alberta Paint Company met again to consider the issue of where and how to deploy marketing efforts among the carefully defined target groups in the paint market in Canada. The President’s opening speech focused on the need to resolve the lingering issue of where and how to deploy marketing efforts among the carefully defined target groups, in order to urgently introduced the new product into the market. Vice President Advertising: John I still believe that our efforts should be directed at advertising to take advantage of high brand name awareness. Research studies indicated that majority of consumers decide ahead of time on their preferred brand of paint before shopping. Advertising solely will play a prominent role in influencing the decision, and I stand by our Agency recommendation of Television commercials and Magazine Advertisement. Vice President Sales(Reacted sharply):I don’t agree! Advertising is not the way to go. We need give incentives to the Trade to stock, give them bulk purchase discounts. Remember this is a low budget product, advertising will hurt our sales returns of the premium Albert-Colour because selling price, perceived quality from our company. Above all Alberta-Colour is at the maturity stage and we may not be able to revive the downturn in sales and competitors will scramble for our market. Vice President Marketing: Well ladies and gentlemen. I hate to admit it, but our marketing representatives are on milk run, we just added few corporate customers last few years and I believe we can spread our resources between the corporate customers who are the industrial buyers, dealer load the trade with incentives and advertising sparingly perhaps on social media. Vice President Finance: Gentlemen I observed that everyone is proposing a change in our orientation, I will like to place the devil’s advocate by pushing for our current approach of selling primarily to both home owners and professional painters our dealers and other retail outlets. Remember we have access to about 7000 retail outlets, and I don; know...all we need to do is fine tune our distribution channel strategies and other marketing mix components. President: Here we are again. We keep going round and you all have valid arguments but we have to prioritize if we must live the marketing philosophy of satisfying the customers profitably. Increased advertising presence is reasonable because competing paint manufacturing firms are heavy spenders, introductory discounts to Trade is good .The idea of developing the Corporate customers to boost industrial sales is great. Our survey reveals that 70% of sales comes from households while 30% is our sales from contractors. Now that I have listened to all and had my say. We are going to put it to a secret written vote on where and how to deploy our marketing efforts among the carefully defined target groups for the launch of the new Product! Please share your thoughts and understanding about the situation stated above if you were the VP MARKETING what are your plans on where and how to best launch the product successfully?

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
icon
Related questions
Question

New Product: Alberta-Q It will appear in the family brand and house colour with slogan ...Quality at affordable price

Planning Meeting: The senior management team of Alberta Paint Company met again to consider the issue of where and how to deploy marketing efforts among the carefully defined target groups in the paint market in Canada.

The President’s opening speech focused on the need to resolve the lingering issue of where and how to deploy marketing efforts among the carefully defined target groups, in order to urgently introduced the new product into the market.

Vice President Advertising: John I still believe that our efforts should be directed at advertising to take advantage of high brand name awareness. Research studies indicated that majority of consumers decide ahead of time on their preferred brand of paint before shopping. Advertising solely will play a prominent role in influencing the decision, and I stand by our Agency recommendation of Television commercials and Magazine Advertisement.

Vice President Sales(Reacted sharply):I don’t agree! Advertising is not the way to go. We need give incentives to the Trade to stock, give them bulk purchase discounts. Remember this is a low budget product, advertising will hurt our sales returns of the premium Albert-Colour because selling price, perceived quality from our company. Above all Alberta-Colour is at the maturity stage and we may not be able to revive the downturn in sales and competitors will scramble for our market.

Vice President Marketing: Well ladies and gentlemen. I hate to admit it, but our marketing representatives are on milk run, we just added few corporate customers last few years and I believe we can spread our resources between the corporate customers who are the industrial buyers, dealer load the trade with incentives and advertising sparingly perhaps on social media.

Vice President Finance: Gentlemen I observed that everyone is proposing a change in our orientation, I will like to place the devil’s advocate by pushing for our current approach of selling primarily to both home owners and professional painters our dealers and other retail outlets. Remember we have access to about 7000 retail outlets, and I don; know...all we need to do is fine tune our distribution channel strategies and other marketing mix components.

President: Here we are again. We keep going round and you all have valid arguments but we have to prioritize if we must live the marketing philosophy of satisfying the customers profitably. Increased advertising presence is reasonable because competing paint manufacturing firms are heavy spenders, introductory discounts to Trade is good .The idea of developing the Corporate customers to boost industrial sales is great. Our survey reveals that 70% of sales comes from households while 30% is our sales from contractors. Now that I have listened to all and had my say. We are going to put it to a secret written vote on where and how to deploy our marketing efforts among the carefully defined target groups for the launch of the new Product!

Please share your thoughts and understanding about the situation stated above if you were the VP MARKETING what are your plans on where and how to best launch the product successfully?

Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Introduction to Forecasting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, marketing and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
Principles Of Marketing
Principles Of Marketing
Marketing
ISBN:
9780134492513
Author:
Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:
Pearson Higher Education,
Marketing
Marketing
Marketing
ISBN:
9781259924040
Author:
Roger A. Kerin, Steven W. Hartley
Publisher:
McGraw-Hill Education
Foundations of Business (MindTap Course List)
Foundations of Business (MindTap Course List)
Marketing
ISBN:
9781337386920
Author:
William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:
Cengage Learning
Marketing: An Introduction (13th Edition)
Marketing: An Introduction (13th Edition)
Marketing
ISBN:
9780134149530
Author:
Gary Armstrong, Philip Kotler
Publisher:
PEARSON
MKTG 12:STUDENT ED.-TEXT
MKTG 12:STUDENT ED.-TEXT
Marketing
ISBN:
9781337407595
Author:
Lamb
Publisher:
Cengage
Contemporary Marketing
Contemporary Marketing
Marketing
ISBN:
9780357033777
Author:
Louis E. Boone, David L. Kurtz
Publisher:
Cengage Learning